Read the full stored bill text
A5239 FISCAL ESTIMATE
LEGISLATIVE FISCAL ESTIMATE
ASSEMBLY, No. 5239
STATE OF NEW JERSEY
222nd LEGISLATURE
DATED: JULY 2, 2026
SUMMARY
Synopsis:
Modifies calculation of preschool education aid for
certain school districts.
Type of Impact:
State expenditure increase from the Property Tax Relief
Fund.� Revenue increase for local school districts.
Agencies Affected:
Department of Education; certain local school districts.
Office of
Legislative Services Estimate
Fiscal Impact
FY 2027
FY 2028
State Expenditure
Increase
Approximately $7.5
million
Indeterminate
Local Revenue
Increase
Approximately $7.5
million
Indeterminate
�
The
Office of Legislative Services (OLS) estimates that this bill would result in a
State expenditure increase of approximately $7.5 million in FY 2027 associated
with the provision of additional preschool education aid to school districts
that first receive preschool education aid in the 2026-2027 school year.� The
bill would result in a concurrent revenue increase for impacted districts.
�
The
OLS is not able to estimate the amount of additional preschool education aid
that may be owed to each district in FY 2028, however, there would be an
indeterminate State expenditure increase and concurrent revenue increase for
local school districts associated with the full funding of preschool education
aid for the impacted districts.
BILL DESCRIPTION
����� This bill modifies the calculation of State preschool
education aid for school districts that are first receiving preschool education
aid in the 2025-2026 and 2026-2027 school years.� Under current law, school
districts that first receive preschool education aid in the 2025-2026,
2026-2027, or 2027-2028 school years participate in a pilot program in which
the districts raise a portion of preschool education costs locally and receive
a percentage of State preschool education aid.� The bill would exempt school
districts that first receive preschool education aid in the 2025-2026 and
2026-2027 school years from participating in the pilot program and entitle
these school districts to 100 percent of their preschool education aid
allocations.
FISCAL ANALYSIS
EXECUTIVE BRANCH
����� None received.
OFFICE OF LEGISLATIVE SERVICES
����� The OLS estimates that this bill would result in a
State expenditure increase of approximately $7.5 million associated with the
provision of additional preschool education aid to school districts that first
receive preschool education aid in the 2026-2027 school year.� The bill would
result in a concurrent revenue increase for the impacted districts.
����� Based on information from the Department of Education
regarding preschool education aid allocations, the OLS determines that there
are five districts that are proposed to receive preschool education aid for the
first time in the 2026-2027 school year.
Preschool
Education Aid
District
County
FY 2027
Governor�s Budget
A5239
Change
Edison Twp
Middlesex
$2,307,310
$5,769,524
$3,461,714
Elmwood Park
Bergen
$1,529,672
$3,824,180
$2,294,508
Wood-Ridge Boro
Bergen
$591,853
$1,479,632
$887,779
Greenwich Twp
Gloucester
$409,046
$1,022,616
$613,570
Frelinghuysen Twp
Warren
$174,528
$436,320
$261,792
����� The total cost of fully funding the five first-time
recipients of preschool education aid would be an additional $7.5 million in
State expenditures.
����� The
OLS is not able to estimate the amount of additional preschool education aid
that may be owed to each district in FY 2028, however, there would be an
indeterminate State expenditure increase and concurrent revenue increase for
local school districts associated with the full funding of preschool education
aid for these five impacted districts.
Section:
Education
Analyst:
Abigail Chambers
Senior Fiscal Analyst
Approved:
Thomas Koenig
Legislative Budget and Finance Officer
This legislative fiscal estimate has been produced by the
Office of Legislative Services due to the failure of the Executive Branch to
respond to our request for a fiscal note.
This fiscal estimate has been prepared pursuant to P.L.1980,
c.67 (C.52:13B-6 et seq.).