Bill
Bill > ACR126
NJ ACR126
NJ ACR126Expresses intent of Legislature that "School Funding Reform Act of 2008" be revised to stabilize State aid reductions.
summary
Introduced
02/24/2026
02/24/2026
In Committee
02/24/2026
02/24/2026
Crossed Over
Passed
Dead
Introduced Session
2026-2027 Regular Session
Bill Summary
This concurrent resolution expresses the intent of the Legislature that the "School Funding Reform Act of 2008," (SFRA) be revised to eliminate significant reductions in State aid to school districts, especially those districts located in the Highlands Region and other areas of the State in which development is restricted. In May of 2009, the New Jersey Supreme Court held that the SFRA was constitutional. The court's determination was premised on the expectation that the State would continue to fund the SFRA at the level required by the SFRA's formula. However in July of 2018, the Legislature modified the SFRA through the enactment of P.L.2018, c.67, commonly referred to as S2. One of the provisions of S2 eliminated the State aid category of adjustment aid which was intended to hold school districts harmless against a precipitous loss in State aid. The elimination of adjustment aid and the mechanism established under S2 for the redistribution of State aid among school districts resulted in the loss of significant amounts of State aid for school districts, including school districts in the Highlands Region. Under the "Highlands Water Protection and Planning Act," development is restricted and strictly regulated in order to protect the vast natural resources found in the Highlands Region. As a result, it is difficult for school districts located in the Highlands Region to raise the increased tax levy necessary to offset losses in school aid, such as those experienced under S2. In light of the fact that State aid under the SFRA is based on student population and other factors, the restrictions on development in the Highlands Region limit the ability of these municipalities to build new residential housing, which would increase school district enrollment, and add businesses to increase ratables. Due to the unique circumstances faced by school districts in the Highlands Region and the extraordinary benefits provided to the citizens of the State through the preservation of this region, it is critical and only equitable that the Legislature make revisions to the SFRA to ensure that school districts in the Highlands Region and other areas of the State are not subject to abrupt cuts in State aid.
AI Summary
This concurrent resolution expresses the Legislature's intention to amend the "School Funding Reform Act of 2008" (SFRA), a law designed to provide State aid to school districts. The SFRA was upheld by the New Jersey Supreme Court in 2009 with the understanding that the State would continue to fund it as per its formula. However, in 2018, a law known as S2 modified the SFRA by eliminating "adjustment aid," which was a safeguard against significant drops in State funding for schools. This change, along with how S2 redistributes funds, has led to substantial State aid losses for many school districts, particularly those in the Highlands Region. The Highlands Region is subject to strict development restrictions under the "Highlands Water Protection and Planning Act" to protect its vital natural resources, including drinking water for over 70% of the state's population. These development limits make it difficult for school districts in this area to increase local property taxes to compensate for lost State aid, as they cannot easily expand their tax base through new housing or businesses. Given these unique challenges and the importance of the Highlands Region, the Legislature intends to revise the SFRA to prevent abrupt cuts in State aid for these districts and others facing similar development restrictions, ensuring they can still provide a quality education.
Committee Categories
Education
Sponsors (3)
Last Action
Introduced, Referred to Assembly Education Committee (on 02/24/2026)
Taxonomy
Education
- ‐ Elementary and Secondary Education
Official Document
bill text
bill summary
Loading...
bill summary
Loading...
bill summary
| Document Type | Source Location | Created |
|---|---|---|
| State Bill Page | https://www.njleg.state.nj.us/bill-search/2026/ACR126 | 02/19/2026 |
| BillText | https://pub.njleg.gov/Bills/2026/ACR/126_I1.HTM | 02/25/2026 |
Loading...