Bill > A2815

This bill requires the New Jersey Educational Facilities Authority, a state agency that helps finance educational institutions, to annually prepare and publish a report on the financial health of public colleges and universities in New Jersey. Specifically, the report must detail two key financial metrics for each institution from the previous academic year: the "debt ratio," which is calculated by dividing the institution's available net assets (money that can be spent, excluding funds designated for long-term physical assets) by its long-term debt (money borrowed for extended periods from outside sources, including bonds, loans, and capital leases that affect the institution's creditworthiness), and the "debt burden ratio," which is calculated by dividing the amount of debt payments due in a year by the institution's total spending. The Authority must then submit this report to the Governor and the State Legislature by January 1st following the academic year covered by the report, and this requirement will apply starting with the first full academic year after the bill becomes law.