NJASBO pushes New Jersey to reform school funding calculations amid aid challenges

The Roxbury Board of Education meeting on April 7, 2025, focused on significant concerns regarding state funding calculations and their impact on local school budgets. Board members discussed the challenges posed by fluctuating property values and the complexities of state aid formulas, which have led to substantial financial losses for the district.

One board member highlighted the need for townships to appeal to the state regarding how funding calculations are made. They pointed out that property values in the area have increased by 60% over the past five to six years, which has resulted in unpredictable changes in state aid. The member emphasized that the current system does not adequately account for these rapid shifts, suggesting that a more stable approach, such as using a three-year average for determining aid, could help mitigate these issues.

The discussion also touched on the New Jersey Association of School Business Officials (NJASBO) and their ongoing efforts to engage with state officials about the School Funding Reform Act (SFRA). The board member expressed frustration over the lack of clarity in the state’s calculations, which often change year to year, complicating budget planning for local districts. They noted that Roxbury had initially anticipated a loss of $4.5 million over six years, but the actual figure had escalated to nearly $7 million.

Additionally, the board member mentioned the tight timeline for budget preparation, as the state releases its budget numbers at the end of February, leaving districts with only two weeks to finalize their budgets. This situation has forced the district to adopt a worst-case scenario approach to budgeting, which adds to the financial strain.

In conclusion, the Roxbury Board of Education is actively seeking solutions to address the challenges posed by state funding calculations. The board's discussions reflect a broader concern among local districts about the sustainability of their funding and the need for a more predictable financial framework.