New JerseyA4161220th Legislature (2024-2025)HouseWALLET

Establishes Stabilized School Budget Aid Grant Program to restore certain portions of State school aid reductions; permits certain school districts to exceed tax levy growth limitation in 2024-2025 school year; appropriates $44.7 million.*

Sponsored By: Mitchelle Drulis (Democratic), Roy Freiman (Democratic), Vin Gopal (Democratic), Andrea Katz (Democratic), Lampitt, Pamela R., Andrew Zwicker (Democratic)

Signed by Governor

Personalized for You

How does this bill affect your finances?

Personalize government policy and PRIA will tell you what this bill means for your household, plus every other piece of legislation we track. PRIA reads each provision against your financial profile to show you exactly what matters to your wallet.

Bill Overview

Analyzed Economic Effects

2 provisions identified: 1 benefits, 1 costs, 0 mixed.

Some districts can raise property taxes

Effective May 14, 2024, the law lets the education commissioner approve above-cap school property tax increases for 2024-2025. These increases need no voter or board of school estimate approval. The total increase cannot exceed the smaller of two limits: state aid lost between 2020-2021 and 2024-2025, or 9.9% of the prior-year school tax levy. This levy excludes debt payments, and the percentage is not a cap on each household's tax increase. Schools Development Authority (SDA) districts cannot use this authority, but keep their tax-raising powers under other laws. Approved districts must submit final budgets in the form and timeframe the commissioner sets. Districts that already certified their levies must recertify the amounts to county tax boards for inclusion in tax assessments. Homeowners may pay more if their district uses this optional authority.

Grants restore part of school aid

The law creates New Jersey's Stabilized School Budget Aid Grant Program, effective May 14, 2024. Eligible districts must have a positive state aid differential under state law and a 2024-2025 state school aid cut. Grants replace 45% of that cut, based on February 2024 aid notices, after the education commissioner verifies the reduction. Beginning July 1, 2024, about $44.7 million from the Property Tax Relief Fund funds grants for the 2024-2025 school year. This money supports school budgets, not direct payments to households.

Sponsors & Cosponsors

Sponsors

  • Mitchelle Drulis

    Democratic • House

  • Roy Freiman

    Democratic • House

  • Vin Gopal

    Democratic • Senate

  • Andrea Katz

    Democratic • House

  • Lampitt, Pamela R.

    Affiliation unavailable

  • Andrew Zwicker

    Democratic • Senate

Cosponsors

  • Carmen F. Amato Jr.

    Republican • Senate

  • Atkins, Reginald W.

    Affiliation unavailable

  • Rosaura Bagolie

    Democratic • House

  • Clinton Calabrese

    Democratic • House

  • Conaway, Herb

    Affiliation unavailable

  • Joseph P. Cryan

    Democratic • Senate

  • Patrick J. Diegnan Jr.

    Democratic • Senate

  • Robert J. Karabinchak

    Democratic • House

  • Angela V. McKnight

    Democratic • Senate

  • Carol A. Murphy

    Democratic • House

  • Verlina Reynolds-Jackson

    Democratic • House

  • Alex Sauickie

    Republican • House

  • Erik K. Simonsen

    Republican • House

  • Shanique Speight

    Democratic • House

  • Shirley K. Turner

    Democratic • Senate

Roll Call Votes

All Roll Calls

Yes: 190 • No: 88

House vote • 5/13/2024

CONCUR IN SA

Yes: 49 • No: 22 • Other: 1

Senate vote • 5/13/2024

TABLE MOTION

Yes: 22 • No: 13

Senate vote • 5/13/2024

3RDG FINAL PASSAGE

Yes: 24 • No: 9

House vote • 4/15/2024

MOTION TAB MOTION

Yes: 43 • No: 24

House vote • 4/15/2024

3RDG FINAL PASSAGE

Yes: 52 • No: 20

Actions Timeline

  1. Approved by Governor — P.L.2024, c.13.

    5/14/2024Governor
  2. Passed Assembly, PBH — (49-22-1)

    5/13/2024House
  3. Received in Assembly, 2RAC

    5/13/2024House
  4. Passed Senate — (24-9)

    5/13/2024Senate
  5. MOTION — To Table Sa (22-13) (Ruiz)

    5/13/2024Senate
  6. MOTION — To Sa (O'Scanlon)

    5/13/2024Senate
  7. Substituted for S3081 (SCS)

    5/13/2024Senate
  8. REP/SCA, 2nd Reading in Senate

    5/9/2024Senate
  9. Received in Senate, Referred to Senate Budget and Appropriations Committee

    5/6/2024Senate
  10. Passed Assembly — (52-20-0)

    4/15/2024House
  11. MOTION — To Table As (43-24-0) (Wimberly)

    4/15/2024House
  12. MOTION — To As (Rumpf)

    4/15/2024House
  13. REP/ACS, 2nd Reading in Assembly

    4/11/2024House
  14. RCM Assembly Appropriations Committee

    4/11/2024House
  15. Reported, 2nd Reading in Assembly

    4/8/2024House
  16. Introduced, 1st Reading in Assembly, Referred to Assembly Education Committee

    4/4/2024House

Bill Text

  • Version PL2024

    7/31/2024

  • Version AL2024

    7/2/2024

  • 5/16/24; 1R ACS

    5/16/2024

  • Assembly Appropriations (4/11/24 ACS)

    5/14/2024

  • Senate Budget and Appropriations (5/9/24 1R ACS)

    5/14/2024

  • Senate Budget and Appropriations Substitute (5/9/24 ACS)

    5/10/2024

  • 4/18/24; ACS

    4/18/2024

  • Assembly Appropriations Substitute (4/11/24 ACS)

    4/12/2024

  • As Introduced

    4/11/2024

  • Assembly Education Substitute (4/5/24)

    4/9/2024

Related Bills

Back to State Legislation