New Jersey
- New Jersey
funding priorities/trends for p-12 and/or higher education
Funding priorities have shifted in response to the COVID-19 pandemic. Governor Murphy established statewide standards in June 2020 for the reopening of schools, controlled through Executive Orders, which have placed financial strains on school districts. In addition, Murphy developed a funding plan to close the digital divide across the state.
Schools have prioritized the funding of medical supplies and additional staff, costing approximately $500 per child.1 In order to establish safe and healthy learning environments, as outlined by the New Jersey Department of Education's (NJDOE) "The Road Back," schools have upgraded ventilation systems, enhanced facilities' cleaning practices, and purchased temperature screening devices, PPE, and other additional equipment not needed in the past.2 Such funds have been allocated to provide staff gloves and students masks; custodial staff are provided with electrostatic disinfectant sprayers. Additionally, physical barriers have been purchased, including desk shields for student desks and plexiglass for high traffic areas where social distancing is difficult to maintain, such as the main office. Classrooms are now equipped for daily hand sanitizing with items such as hand sanitizers and isopropyl alcohol wipes. Districts have hired additional nurses, substitute nurses, and custodial staff.3
The DOE's plan to accommodate the technological demands of remote and hybrid learning consisted of a $10 million formula grant using federal Coronavirus Aid, Relief, and Economic Security (CARES) Act, Elementary and Secondary School Emergency Relief (ESSER) funds for one-to-one digital devices and internet connectivity while also making available philanthropic donations; as of July 2020, the Administration planned to use these resources before tapping into $44 million in Coronavirus Relief Fund allocations for public schools and $6 million for nonpublic schools.4
changes to funding formula for p-12 and/or higher education
There were not major revisions to the P-12 funding formula in the state of New Jersey. [End Page 322] The mechanism has both wealth-equalized and categorical aid. Wealth-equalized aid requires equality by assuring that each district has adequate funds based on the ability to generate local revenue. Categorical aid is disbursed with a combination of student data and the cost associated with that category.
Adequacy Budget = (Base Cost + At-Risk Cost (Based on eligibility for free and reduced lunches) +Limited English Proficient Cost + Combination (of Limited English Proficient and At-Risk) Cost + Special Education Census) × Geographic Cost Adjustment
Categorical aid remains unchanged, based on the following seven categories: special education, security, transportation, pre-school, debt service aid/benefit payments, and school choice aid.5 Additionally, the decentralized structure of higher education in New Jersey, and the lack of a clear strategic plan, suggest that funding for appropriations and financial aid calculated on an ad hoc basis and are predominantly influenced by previous allocations.
pressing state issues affecting p-12 and/or higher education funding
Due to the timing of the budget process and the increased expenses to reopen schools, districts are unable to access authorized budget transfers, and are now depending on revenue in excess of anticipated amounts.6 Furthermore, school districts across New Jersey are now required to account for COVID-19 related revenue and expenses under new budget line items; for example, schools must report on funds received from sources such as the Digital Divide Grant and the CARES Act Education Stabilization Fund.7 "The Department understands that districts are faced with uncertainty at this time, and similar to when implementing the changes to state aid over the past few years, the Department will prioritize to guide school districts to react to the evolving state and local fiscal situations."8
exclusive to p-12: alternatives to traditional public schools and trend in funding for these alternatives
Private and charter schools have sought to receive funding due to financial strains amid the coronavirus pandemic. NJ charter schools have also been entitled to funds provided by federal aid through the CARES Act. The CARES Act program requires Local Education Agencies (LEAs) to provide "equitable services to students and teachers" of non-public schools. Charter schools have also received between $33.9 million and $55.1 million...
