Bill

Bill > A1201


NJ A1201

NJ A1201
Modifies method of allocating State aid for providing auxiliary and remedial services to nonpublic school students.


summary

Introduced
01/13/2026
In Committee
01/13/2026
Crossed Over
Passed
01/13/2026
Dead
Signed/Enacted/Adopted
01/13/2026

Introduced Session

2026-2027 Regular Session

Bill Summary

This bill modifies the laws governing the allocation of State aid for auxiliary services and remedial services to nonpublic school students. The bill specifically requires the Commissioner of Education to establish a process by which school districts are to be reimbursed for costs that are incurred to provide auxiliary and remedial services for eligible nonpublic school students. Pursuant to the bill, school districts are to be reimbursed for costs within the limits of applicable maximum per service aid amounts, as established by the commissioner. The maximum per service aid amounts are to be determined by dividing the amount annually appropriated to provide auxiliary and remedial services in the annual appropriations act by the average number of documented services delivered in the prior three school years. In the second full school year following the date of enactment of the bill and every third school year thereafter, the commissioner is required to conduct a survey, which would collect from service providers information as the commissioner deems necessary to calculate the average and range of costs incurred to provide services. The commissioner is required to report the findings of the survey to the Governor and the Legislature and use the report to inform recommendations on the annual appropriations to provide auxiliary and remedial services. In distributing State aid for auxiliary and remedial services, the commissioner is required to ensure that, to the greatest extent possible, the amounts annually appropriated for auxiliary services and remedial services are fully exhausted by the end of the school year for which the maximum amounts are established, and that the amounts appropriated are equitably distributed among school districts applying for reimbursement. To the extent permitted by federal law, the commissioner may establish limits on the duration and frequency of certain auxiliary and remedial services in order to ensure that the greatest number of eligible students are provided services throughout the school year and that, to the greatest extent possible, the amount annually appropriated for the services is available to reimburse school districts during the entirety of the school year. The reimbursement process to be implemented by the commissioner pursuant to the bill would permit school districts to apply quarterly for reimbursement payments. The details of the reimbursement process are to be annually announced on July 15 of the school year, and districts can begin submitting for reimbursement on September 1. Reimbursements are to be made to school districts throughout the school year until the full amount annually appropriated as State aid for nonpublic school auxiliary and remedial services has been fully expended. School districts seeking reimbursement under the bill are required to submit applications on a quarterly basis and adhere to all established submission guidelines, accounting and budgeting guidance, documentation requirements, and defined timelines for reimbursement. In order to ensure the full reimbursement of eligible costs, the bill also removes provisions of law setting forth the calculation of both categories of aid. Under current law, State aid allotments for an upcoming school year are calculated by multiplying the applicable per pupil service cost by the number of students who were previously identified as eligible to receive each service. The bill also removes sections of current law that: (1) require school districts to refund unexpended State aid for nonpublic auxiliary and remedial services; and (2) require the commissioner to prorate State nonpublic auxiliary and remedial services aid amounts downward, in the event that the amount of State aid appropriated for those purposes is insufficient.

AI Summary

This bill modifies how State aid is allocated for auxiliary and remedial services provided to nonpublic school students, aiming to ensure that appropriated funds are fully utilized and equitably distributed. The Commissioner of Education will now establish a process for school districts to be reimbursed for these services, with reimbursement amounts capped by "maximum per service aid amounts." These caps will be calculated by dividing the total annual appropriation for these services by the average number of documented services provided over the previous three school years. To inform future appropriations, the Commissioner will conduct a survey every three years to assess the actual costs of providing these services and report the findings to the Governor and Legislature. The bill also allows the Commissioner to set limits on the duration and frequency of certain services to maximize the number of students served and ensure funds are available throughout the school year, and permits school districts to apply for reimbursement quarterly, with payments made until the annual appropriation is exhausted. Importantly, this bill removes previous provisions that required school districts to refund unspent aid and mandated downward proration of aid if appropriations were insufficient, and it also eliminates the previous method of calculating aid based on a per-pupil cost multiplied by the number of eligible students.

Committee Categories

Education

Sponsors (4)

Last Action

Withdrawn Because Approved P.L.2025, c.252. (on 01/13/2026)

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