Camden to receive the most state aid for schools in governor’s budget proposal

The final school funding numbers could change as the Legislature continues to examine Murphy’s spending plan, the last one of his administration. The Assembly Budget Committee is scheduled to hold hearings with the state Department of Education on Monday. The Senate Budget and Appropriations Committee will hold a similar hearing May 13.

During his budget speech in February, Murphy said any aid increases would be limited to 6%, while aid cuts would be capped at 3% to reduce volatility in budget planning for the districts.

Michael Hayes, associate professor of public policy at Rutgers University–Camden, said Murphy made a smart political move by capping funding increases and decreases. This approach limits how much money growing districts can get, while softening the blow for the districts facing losses.

“You can sort of soften the damage by not giving such a big increase to people who, in theory, because the formula would suggest they should receive more, they’re not going to receive that,” he said.

But Hayes said the state’s school funding formula has not always been fully funded and cautions that schools are facing structural deficits. Some school districts will be raising their property tax levies beyond the 2% cap thanks to a recent law granting a one-time pass.

Plainfield’s board of education wants to raise local school property taxes by 36%, according to NJ.com. The Middletown school board recently approved raising its tax levy to 10.1%, according to Patch.

Hayes questioned the sustainability of the current formula.

“You’re kind of seeing more responsibility falling on local school districts to fund their budgets through their property tax primarily,” he said, noting that Garden State residents pay among the highest property taxes in the country. “I think for the next administration … this is going to be a major challenge for them.”

School districts in North Jersey bear the most proposed aid cuts

North Jersey bears the brunt of the proposed cuts in K-12 state aid. A WHYY News analysis of numbers provided by the New Jersey Department of Education shows 65 school districts in that region will see some form of a reduction in their aid compared to last year.