Restricts Commissioner of Education's authority to reject school district's budget proposal.

A142

ASSEMBLY, No. 142

STATE OF NEW JERSEY

222nd LEGISLATURE

�

PRE-FILED FOR INTRODUCTION IN THE 2026 SESSION

Sponsored by:

Assemblywoman DAWN FANTASIA

District 24 (Morris, Sussex and Warren)

Assemblyman MICHAEL INGANAMORT

District 24 (Morris, Sussex and Warren)

SYNOPSIS

���� Restricts Commissioner of Education's authority to
reject school district's budget proposal.

CURRENT VERSION OF TEXT

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

��

An Act
concerning the approval of a school district�s budget
proposal and amending P.L.1996, c.138.

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

���� 1.��� Section 6 of P.L.1996,
c.138 (C.18A:7F-6) is amended to read as follows:

���� 6.��� a.
[
The
commissioner shall not approve any budget submitted pursuant to subsection c.
of section 5 of this act unless he is satisfied that the district has
adequately implemented within the budget the thoroughness and efficiency
standards set forth pursuant to section 4 of P.L.2007, c.260 (C.18A:7F-46).� In
those instances in which a district submits a budget with a general fund tax
levy and equalization aid set at less than its adequacy budget, the
commissioner may, when he deems it necessary to ensure implementation of
standards, direct additional expenditures, in specific accounts and for
specific purposes, up to the district's adequacy budget.� A district which
submits a budget with a general fund tax levy and equalization aid set at less
than its adequacy budget and which fails to meet core curriculum content
standards in any school year shall be required to increase expenditures so as
to meet at least the adequacy budget within the next two budget years.� In all
cases, including those instances in which a district submits a budget with a
general fund tax levy and equalization aid above its adequacy budget, the
commissioner may direct such budgetary reallocations and programmatic
adjustments, or take such other measures, as he deems necessary to ensure
implementation of the required thoroughness and efficiency standards.
]

(Deleted
by amendment, P.L.��� , C.�� ) (pending before the Legislature as this bill)

���� b.���
[
In addition,
whenever
]

Whenever
the commissioner determines, through the results of Statewide
assessments conducted pursuant to law and regulation, or during the course of
an evaluation of school performance conducted pursuant to section 10 of
P.L.1975, c.212 (C.18A:7A-10), that a district, or one or more schools within
the district, is failing to achieve the core curriculum content standards, the
commissioner may summarily take such action as he deems necessary and
appropriate, including but not limited to:

���� (1)�� directing the
restructuring of curriculum or programs;

���� (2)�� directing staff
retraining or reassignment;

���� (3)�� conducting a
comprehensive budget evaluation;

���� (4)�� redirecting
expenditures;

���� (5)�� enforcing spending at
the full adequacy budget; and

���� (6)�� notwithstanding any
provisions of the "New Jersey Employer-Employee Relations Act,"
P.L.1941, c.100 (C.34:13A-1 et seq.), to the contrary, reviewing the terms of
future collective bargaining agreements.

���� The commissioner shall report
any action taken under this subsection to the State board within 30 days.� A
board of education may appeal a determination that the district is failing to
achieve the core curriculum content standards and any action of the commissioner
to the State board.

���� Nothing in this section shall
be construed to limit such general or specific powers as are elsewhere
conferred upon the commissioner pursuant to law.

���� Nothing in this act shall be
deemed to restrict or limit any rights established pursuant to the "New
Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et
seq.), nor shall the commissioner's powers under this act be construed to
permit the commissioner to restrict, limit, interfere with, participate, or be
directly involved in collective negotiations, contract administration, or
processing of grievances, or in relation to any terms and conditions of
employment.� This provision shall apply to an existing State-operated school
district or a district that is placed under full State intervention only after
the terms and conditions of a contract have been finalized.

���� c.���� (Deleted by amendment,
P.L.2007, c.260).

���� d.��� In addition to the audit
required of school districts pursuant to N.J.S.18A:23-1, the accounts and
financial transactions of any school district in which the State aid equals 80%
or more of its net budget for the budget year shall be directly audited by the
Office of the State Auditor on an annual basis.

���� e.���� (Deleted by amendment,
P.L.2007, c.260).

����
f.���� The commissioner
shall not reject any budget submitted pursuant to subsection c. of section 5 of
P.L.1996, c.138 (C.18A:7F-5) due to the fact that the budget submitted includes
a general fund tax levy or total general fund budget that is less than the amount
included in the prior budget year.

(cf: P.L.2007, c.260, s.30)

���� 2.��� This act shall take
effect immediately and shall first be applicable to the first full school year
following the date of enactment.

STATEMENT

���� Prior to adopting a budget or
presenting it to voters for approval, as may be applicable, a school district
must submit the budget proposal to the Commissioner of Education for review and
approval.� The commissioner may reject the proposal and direct modifications if
the commissioner, among other things, is not satisfied that the budget proposal
is sufficient to satisfy the thoroughness and efficiency standards that have
been established.� This bill eliminates that statutory authority and specifies
that the commissioner may not reject a budget proposal based on the fact that
the proposal includes a general fund tax levy or total general fund budget that
is less than the amount included in the prior budget year.