Assembly Education Committee Advances School Funding Transparency Legislation

The Assembly Education Committee today advanced A3881, sponsored by Speaker Craig J. Coughlin, which would strengthen school funding transparency and provide school districts with greater certainty when crafting their annual budgets. The bill is also sponsored by Assemblymembers Sterley Stanley and Verlina Reynolds-Jackson.

Under the bill, the Commissioner of the Department of Education (DOE) would be required to provide each school district with a preliminary State aid notice by the first week of December, detailing the minimum amount the district can expect in the upcoming school year. This early notification gives districts more time to plan their budgets.

“Making sure our schools are funded is one of the most important things we can do as a state, and our commitment to doing so in a way that ensures the resources follow the students’ needs is exactly why we can stand here today and say New Jersey has the best public schools in the nation,” said Assembly Speaker Coughlin (D-Middlesex). “This bill builds on that basis by giving boards of education and administrators adequate time and information they need to budget and plan responsibly, while giving parents and taxpayers a clearer picture of how funding decisions are made.”

Currently, school districts across New Jersey learn how much State aid they will receive just a few months before their budgets must be finalized, leaving them unsure about what resources will be available. Districts with a reduction in funding have little time to appropriately plan, which can result in abrupt program cuts, layoffs, and other disruptions.

“School districts shouldn’t be scrambling every spring to figure out how to keep the lights on and teachers in classrooms,” said Assemblyman Stanley (D-Middlesex). “The funding formula we have today was built to deliver equity and opportunity to every student in New Jersey, and this bill makes sure it delivers on that promise by giving educators and administrators the time they need to plan responsibly, while giving parents and taxpayers a clearer window into how those decisions get made in the first place.”

“For too long, school districts have been asked to make critical decisions about teachers, programs, and services under the pressure of a ticking clock,” said Assemblywoman Reynolds-Jackson (D-Hunterdon, Mercer). “Every child in this state deserves to walk into their school knowing that their teachers are prepared, their programs are in place, and their district has had the time to plan for them. So, when we give our schools the predictability they need to do their jobs, we’re not just helping administrators balance a budget, we are investing in the futures of the children who will carry this state forward.”

Under the legislation, the DOE would provide final school funding figures within two days of the Governor’s annual budget address. Statewide property value and income rates, which determine a district’s required local share, would also be made available.

The bill also provides flexibility for school districts facing a reduction in state aid. Districts could submit their budgets within five days of the enactment of the State budget and would also be able to revise their budget at any point within the first six months of the budget year.

Additionally, the legislation would also task the DOE with creating a New Jersey Education Funding Portal, making the data and calculations behind State school aid available to both districts and the public, helping families and taxpayers understand how school funding decisions are made.

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