Establishes "School Finance Reform Commission."

A1174

ASSEMBLY, No. 1174

STATE OF NEW JERSEY

222nd LEGISLATURE

�

PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION

Sponsored by:

Assemblyman JOE DANIELSEN

District 17 (Middlesex and Somerset)

SYNOPSIS

���� Establishes "School Finance Reform
Commission."

CURRENT VERSION OF TEXT

���� Introduced Pending Technical Review by Legislative
Counsel.

��

An Act
establishing the �School Finance Reform Commission.�

����
Be It
Enacted
by the Senate and General Assembly of
the State of New Jersey:

���� 1. a. There is established the
�School Finance Reform Commission� in, but not of, the Department of
Education.� The commission shall consist of 13 members as follows:

���� (1)�� the Commissioner of
Education, ex officio, or the commissioner�s designee;

���� (2)�� the President of the
State Board of Education, ex officio, or the president�s designee;

���� (3)�� 11 public members
appointed as follows:

���� (a)�� two members appointed by
the President of the Senate;

���� (b)�� two members appointed by
the Minority Leader of the Senate;

���� (c)�� two members appointed by
the Speaker of the General Assembly;

���� (d)�� two members appointed by
the Minority Leader of the General Assembly; and

���� (e)�� three members, no more
than two of whom shall be of the same political party, appointed by the
Governor.

���� b. The appointments to the
commission shall be made within 30 days of the effective date of this act.�
Vacancies in the membership of the commission shall be filled in the same
manner as the original appointments were made.� Members of the commission shall
serve without compensation, but shall be reimbursed for necessary expenditures
incurred in the performance of their duties as members of the task force within
the limits of funds appropriated or otherwise made available to the task force
for its purposes.

���� c. The commission shall
organize as soon as practicable, but no later than 30 days following the
appointment of its members.� The commission shall choose a chairperson from
among its members and shall appoint a secretary who need not be a member of the
task force.

���� d.��� Professional, clerical,
and administrative staff and related support services shall be provided to the
commission by the Department of Education.� The commission is authorized to
call upon any department, office, division or agency of the State, or of any
county, municipality or school district of the State, to supply data, reports
and other information, personnel, and assistance as it deems necessary to
discharge its duties and responsibilities pursuant to this act.

���� 2. a. It shall be the duty of
the �School Finance Reform Commission� established pursuant to section 1 of
this act to study the effectiveness of, and provide recommendations on
improving, various aspects of school budgeting, finance, and funding, with a particular
emphasis on the following topics:

���� (1) school district property
tax levies and the tax levy growth limitation established by section 3 of
P.L.2007, c.62 (C.18A:7F-38); and

���� (2) the calculation of local
share enumerated in section 10 of P.L.2007, c.260 (C.18A:7F-52), which is used
in determining a district�s allocation of equalization aid pursuant to section
11 of P.L.2007, c.260 (C.18A:7F-53).

���� b. The commission shall submit
a report to the Governor, and to the Legislature pursuant to section 2 of
P.L.1991, c.164 (C.52:14-19.1), no later than one year after the organization
of the commission. The report shall include the findings of the commission and
recommendations to improve school budgeting, finance, and funding.� The report
shall be posted in a prominent location on the Internet website of the
Department of Education.

���� 3. This act shall take effect
immediately, and shall expire 30 days after the commission issues its final
report.

STATEMENT

���� This bill establishes the
School Finance Reform Commission. The purpose of the commission is to study the
effectiveness of, and provide recommendations on improving, various aspects of
school budgeting, finance, and funding, including but not limited to: school
district property tax levies and the tax levy growth limitation; and the
calculation of local share used in determining a district�s allocation of
equalization aid.

���� The commission is to consist
of 13 members, including the Commissioner of Education and the President of the
State Board of Education, or their designees, and 11 public members appointed
by the President of the Senate, the Minority Leader of the Senate, the Speaker
of the General Assembly, the Minority Leader of the General Assembly, and the
Governor.

���� The commission is to issue a
report no later than one year after its organization detailing the findings of
the commission and making recommendations for the improvement of school
budgeting, finance, and funding.