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NJ A516

NJ A516
Includes adjustment aid in calculation of districts' payments to charter schools under certain circumstances.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
Dead

Introduced Session

2026-2027 Regular Session

Bill Summary

Under current law, a school district of residence forwards a portion of its revenue to a charter school for each of its resident students enrolled in the charter school. Specifically, the district forwards an amount equal to 90 percent of the sum of its budget year equalization aid per pupil and prebudget year general fund tax levy per pupil, increased by the CPI. The school district of residence is not required to forward any portion of its adjustment aid to a charter school; in some cases, this leads to a situation in which the charter school receives substantially less per pupil funding than the school district of residence. This bill specifies that if the sum of 50 percent of the equalization aid per pupil and general fund tax levy per pupil is less than the school district of residence's adjustment aid per pupil, then the district would be required to transfer to the charter school 60 percent of the sum of the budget year equalization aid per pupil, adjustment aid per pupil, and prebudget year general fund tax levy per pupil inflated by the CPI.

AI Summary

This bill modifies how school districts of residence calculate payments to charter schools for resident students. Currently, districts send 90% of a student's per-pupil funding, based on equalization aid and general fund tax levy, to charter schools, but are not required to send any "adjustment aid," which is additional state funding provided to districts. This bill introduces a new provision: if 50% of a district's equalization aid and general fund tax levy per pupil is less than the district's adjustment aid per pupil, then the district must send 60% of the combined total of equalization aid, adjustment aid, and general fund tax levy per pupil to the charter school. This change aims to ensure charter schools receive more comparable per-pupil funding to what the resident school district receives, especially in situations where adjustment aid significantly increases a district's per-pupil revenue.

Committee Categories

Education

Sponsors (1)

Last Action

Introduced, Referred to Assembly Education Committee (on 01/13/2026)

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