This bill introduces a cap on the reduction of State school aid, limiting any decrease to a maximum of one percent from the previous year's aid amount for each school district. This provision overrides existing laws and regulations, ensuring that no school district will experience a reduction in State aid exceeding this cap during any school year. The bill also amends existing legislation to clarify the calculation of State aid for districts with negative and positive State aid differentials, while maintaining the overall structure of aid distribution.

Additionally, the bill includes specific provisions for certain districts, such as those classified as SDA districts, which may be exempt from reductions under certain conditions. It outlines the methodology for calculating State aid for districts with positive differentials, detailing a schedule for reductions over the next several school years. The bill aims to provide stability in funding for school districts while addressing disparities in State aid distribution.

Statutes affected:
Introduced: 18A:7F-68