The bill mandates the Commissioner of Education to implement new procedures for preliminary State school aid notices and school district budgets, while also establishing the New Jersey Education Funding Portal. Starting with the 2026-2027 school year, the commissioner is required to provide each school district with a preliminary State aid notice by the end of the first week in December, detailing the minimum amount of State aid for the upcoming school year. The bill also modifies existing provisions related to school funding law, including adjustments to the adequacy budget and local share calculations, and clarifies that the base per pupil amount and other funding metrics will be adjusted based on the Consumer Price Index (CPI).

Additionally, the bill revises how equalized valuation and district income are calculated, now based on the average of the preceding three years, with specific adjustments for the prebudget year. It ensures that property value and income rates for the 2026-2027 school year will remain the same as those used in the previous year, providing stability in funding. The establishment of the New Jersey Education Funding Portal will enhance transparency by allowing access to data inputs and calculations used in determining state aid. The legislation also allows districts facing proposed reductions in state aid to submit and revise their budgets within a specified timeframe, promoting greater flexibility in financial planning and aiming to create a more equitable school funding system.

Statutes affected:
Introduced: 18A:7F-5, 18A:7F-46, 18A:7F-52