Requires second enrollment count for determining State school aid.

S3577

SENATE, No. 3577

STATE OF NEW JERSEY

222nd LEGISLATURE

�

INTRODUCED FEBRUARY 19, 2026

Sponsored by:

Senator� JAMES BEACH

District 6 (Burlington and Camden)

SYNOPSIS

���� Requires second enrollment count for determining
State school aid.

CURRENT VERSION OF TEXT

���� As introduced.

��

An Act
concerning school district resident enrollment,
supplementing P.L.2007, c.260, and amending various parts of the statutory law.

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

���� 1.��� (New section) a.�
Notwithstanding any law, rule, or regulation to the contrary, for the purposes
of determining State school aid pursuant to P.L.2007, c.260 (C.18A:7F-43 et
al.), a school district�s resident enrollment shall be determined by taking the
average of the number of students enrolled in the district on:

���� (1)� the last school day prior
to October 16 of the current school year; and

���� (2)� the last school day prior
to February 2 of the current school year.

���� b. A student shall be included
in the enrollment counts conducted pursuant to subsection a. of this section if
the student is a resident of the district and is enrolled in:

���� (1) the public schools of the
district, excluding evening schools; or

���� (2) another school district,
other than a county vocational school district in the same county on a
full-time basis, or a State college demonstration school or private school to
which the district of residence pays tuition.

���� c. A student shall be included
in the enrollment counts conducted pursuant to subsection a. of this section if
the student is a resident of the district and is:

���� (1) receiving home
instruction; or

���� (2) in a shared-time
vocational program and is regularly attending a school in the district and a
county vocational school district.

���� Students in a shared-time
vocational program shall be counted on an equated full-time basis in accordance
with procedures to be established by the Commissioner of Education.

���� d. A student shall be included
in the enrollment counts conducted pursuant to subsection a. of this section
regardless of nonresidence if the student is an enrolled child of a teaching
staff member of the school district or county vocational school district who is
permitted, by contract or local district policy, to enroll their children in
the educational program of the school district or county vocational school
district without payment of tuition.

���� e. Disabled children between
three and five years of age and receiving programs and services pursuant to
N.J.S.18A:46-6 shall be included in the enrollment counts conducted pursuant to
subsection a. of this section.

���� f.� A preschool student,
post-graduate student, and post-secondary vocational student shall not be
included in the enrollment counts conducted pursuant to subsection a. of this
section.�

���� g.� Notwithstanding the
provisions of this section or of any other law to the contrary, for State
facilities, resident enrollment shall only include the number of students who,
on the last school day prior to October 16 of the prebudget year, are residents
of the district and in a State facility in which they were placed by either the
district or the State.� Nothing in this section shall be construed to require
an additional count of such students during the prebudget year.�

���� 2.��� Section 6 of P.L.1979,
c.207 (C.18A:7B-2) is amended to read as follows:

���� 6. a. For each State-placed
child who is resident in a district and in a State facility on the last school
day prior to October 16 of the prebudget year, and for each district-placed
child who is resident in a district and in a State facility on the last school
day prior to October 16 of the
[
budget
]

prebudget

year, the Commissioner of Education shall deduct from the State aid payable to
that district an amount equal to the approved per pupil cost established
pursuant to the provisions of section 24 of P.L.1996, c.138 (C.18A:7F-24);
except that for a child in a county juvenile detention center, no deduction
shall be made until Fiscal Year 1999, in which year and thereafter 50 percent
of the per pupil cost shall be deducted.

���� b.��� If, for any district,
the amount to be deducted pursuant to subsection a. of this section is greater
than State aid payable to the district, the district shall pay to the
Department of Education the difference between the amount to be deducted and
the State aid payable to the district.

���� c.���� The amount deducted
pursuant to subsection a. of this section and the amount paid to the Department
of Education pursuant to subsection b. of this section shall be forwarded to
the Department of Human Services or the Department of Children and Families, as
applicable, if the facility is operated by or under contract with that
department, or to the Department of Corrections if the facility is operated by
or under contract with that department, or to the Youth Justice Commission
established pursuant to section 2 of P.L.1995, c.284 (C.52:17B-170) if the
facility is operated by or under contract with that commission, and shall serve
as payment by the district of tuition for the child.� In the case of county juvenile
detention centers, the tuition shall be deemed to supplement funds currently
provided by the county for this purpose under chapter 10 and chapter 11 of
Title 9 of the Revised Statutes.� In Fiscal Year 1998, a county shall not
decrease its level of contribution as a result of the payment of tuition
pursuant to this section.� In Fiscal Year 1999 and thereafter, a county shall
be required to pay 50 percent of the approved per pupil costs established
pursuant to the provisions of section 24 of P.L.1996, c.138 (C.18A:7F-24) for
the purpose of implementing chapters 10 and 11 of Title 9 of the Revised
Statutes.� Amounts so deducted shall be used solely for the support of
educational programs and shall be maintained in a separate account for that
purpose.� No district shall be responsible for the tuition of any child
admitted by the State to a State facility after the last school day prior to
October 16 of the prebudget year.

(cf: P.L.2025, c.35, s.29)

���� 3.��� Section 33 of P.L.1996,
c.138 (C.18A:7F-33) is amended to read as follows:

���� 33.�
a.
Annually, on or
before October 20, the secretary of the board of education, with approval of
the superintendent of schools, or if there is no superintendent of schools,
with the approval of the executive county superintendent of schools, shall file
with the commissioner a report prescribed by the commissioner containing all
data necessary to effectuate the aid provisions of P.L.2007, c.260 (C.18A:7F-43
et al.), which shall include but not be limited to, the number of pupils
enrolled by grade, the number of these pupils classified as eligible for
special education services and speech-only services, the number of pupils in
approved programs for bilingual education, the number of at-risk pupils, the
number of combination pupils, and the number of pupils in State facilities,
county vocational schools, State college demonstration schools, evening
schools, other public or private schools to which the district is paying
tuition, or who are receiving home instruction on the last school day prior to
October 16.� In addition, districts shall file annual reports providing such
information as the commissioner may require for pupils receiving special
education services.

����
b. Annually, on or before
February 5, the secretary of the board of education, with approval of the
superintendent of schools, or if there is no superintendent of schools, with
the approval of the executive county superintendent of schools, shall file with
the commissioner an update to the report required pursuant to subsection a. of
this section, which update shall include enrollment counts conducted pursuant
to section 1 of P.L.��� , c.���� (C.������� ) (pending before the Legislature
as this bill).

(cf: P.L.2007, c.260, s.34)

���� 4.��� Section 3 of P.L.2007,
c.260 (C.18A:7F-45) is amended to read as follows:

���� 3.��� As used in P.L.2007,
c.260 (C.18A:7F-43 et al.) and P.L.1996, c.138 (C.18A:7F-1 et al.), unless the
context clearly requires a different meaning:

���� "At-risk pupils"
means those resident pupils from households with a household income at or below
the most recent federal poverty guidelines available on
[
October 15 of
the prebudget year
]

the day of an enrollment count conducted pursuant to section 1 of P.L.��� ,
c.���� (C.������� ) (pending before the Legislature as this bill)

multiplied by 1.85;

���� "Base per pupil
amount" means the cost per elementary pupil of delivering the core
curriculum content standards and extracurricular and cocurricular activities
necessary for a thorough and efficient education;

���� "Bilingual education
pupil" means a resident pupil enrolled in a program of bilingual education
or in an English as a second language program approved by the State Board of
Education;

���� "Budgeted local
share" means the district's local tax levy contained in the budget
certified for taxation purposes;

���� "Capital outlay"
means capital outlay as defined in GAAP;

���� "Combination pupil"
means a resident pupil who is both an at-risk pupil and a bilingual education
pupil;

���� "Commissioner" means
the Commissioner of Education;

���� "Concentration of at-risk
pupils" shall be based on prebudget year pupil data and means, for a
school district or a county vocational school district, the number of at-risk
pupils among those counted in resident enrollment, divided by resident enrollment;

���� "County special services
school district" means any entity established pursuant to article 8 of
chapter 46 of Title 18A of the New Jersey Statutes;

���� "County vocational school
district" means any entity established pursuant to article 3 of chapter 54
of Title 18A of the New Jersey Statutes;

���� "CPI" means the
increase, expressed as a decimal, in the average annualized consumer price
index for the New York City and Philadelphia areas in the fiscal year preceding
the prebudget year relative to the previous fiscal year as reported by the
United States Department of Labor;

���� "Debt service" means
payments of principal and interest upon school bonds and other obligations
issued to finance the purchase or construction of school facilities, additions
to school facilities, or the reconstruction, remodeling, alteration, modernization,
renovation or repair of school facilities, including furnishings, equipment,
architect fees, and the costs of issuance of such obligations and shall include
payments of principal and interest upon bonds heretofore issued to fund or
refund such obligations, and upon municipal bonds and other obligations which
the commissioner approves as having been issued for such purposes;

���� "District income"
means the aggregate income of the residents of the taxing district or taxing
districts, based upon data provided by the Division of Taxation in the New
Jersey Department of the Treasury and contained on the New Jersey State Income
Tax forms for the calendar year ending two years prior to the prebudget year.�
The commissioner may supplement data contained on the State Income Tax forms
with data available from other State or federal agencies in order to better
correlate the data to that collected on the federal census.� With respect to
regional districts and their constituent districts, however, the district
income as described above shall be allocated among the regional and constituent
districts in proportion to the number of pupils resident in each of them;

���� "Equalized
valuation" means the equalized valuation of the taxing district or taxing
districts, as certified by the Director of the Division of Taxation on October
1, or subsequently revised by the tax court by January 15, of the prebudget
year.� With respect to regional districts and their constituent districts,
however, the equalized valuations as described above shall be allocated among
the regional and constituent districts in proportion to the number of pupils
resident in each of them. In the event that the equalized table certified by
the director shall be revised by the tax court after January 15 of the
prebudget year, the revised valuations shall be used in the recomputation of
aid for an individual school district filing an appeal, but shall have no
effect upon the calculation of the property value rate, Statewide average
equalized school tax rate, or Statewide equalized total tax rate;

���� "Full-day preschool"
means a preschool day consisting of a six-hour comprehensive educational
program in accordance with the district's kindergarten through grade 12 school
calendar;

���� "GAAP" means the
generally accepted accounting principles established by the Governmental
Accounting Standards Board as prescribed by the State board pursuant to
N.J.S.18A:4-14;

���� "General special
education services pupil" means a pupil receiving specific services
pursuant to chapter 46 of Title 18A of the New Jersey Statutes;

���� "Geographic cost
adjustment" means an adjustment that reflects county differences in the
cost of providing educational services that are outside the control of the
district;

���� "Household income"
means income as defined in 7 CFR ss.245.2 and 245.6 or any subsequent
superseding federal law or regulation;

���� "Net budget" means
the sum of the district's general fund tax levy, State aid received pursuant to
the provisions of this act other than preschool education aid, miscellaneous
revenue estimated pursuant to GAAP, and designated general fund balance;

���� "Nonpreschool ECPA"
means the amount of early childhood program aid, excluding prior year
carry-forward amounts, included in a district's 2007-2008 school year budget
certified for taxes that was allocated to grades K through 3;

���� �Prebudget year� means the
school fiscal year preceding the year in which the school budget is
implemented;

���� �Preschool expansion grant�
means any grant funded by a portion of preschool education aid allocated by the
Commissioner of Education or any other State funds appropriated for the purpose
of expanding free access to high-quality preschool for resident three- and
four-year old children in districts that do not, at the time of application for
a grant, provide State-funded, high-quality, free preschool programs;

���� "Report" means the
Educational Adequacy Report issued by the commissioner pursuant to section 4 of
this act;

���� "Resident
enrollment" means the
average of the
number of pupils other than
preschool pupils, post-graduate pupils, and post-secondary vocational pupils
who, on the last school day prior to October 16 of the current school year
and
on the last school day prior to February 2 of the current school year
, are
residents of the district and are enrolled in:� (1) the public schools of the
district, excluding evening schools,
or
(2) another school district,
other than a county vocational school district in the same county on a
full-time basis, or a State college demonstration school or private school to
which the district of residence pays tuition
[
,
or (3) a State facility in which they are placed by the district
]
; or are
residents of the district and are:� (1) receiving home instruction, or (2) in a
shared-time vocational program and are regularly attending a school in the
district and a county vocational school district. In addition, resident
enrollment shall include the number of pupils who, on the last school day prior
to October 16 of the prebudget year, are residents of the district and in a
State facility in which they were placed by the
district or the
State.�
Pupils in a shared-time vocational program shall be counted on an equated
full-time basis in accordance with procedures to be established by the
commissioner.� Resident enrollment shall include regardless of nonresidence,
the enrolled children of teaching staff members of the school district or
county vocational school district who are permitted, by contract or local
district policy, to enroll their children in the educational program of the
school district or county vocational school district without payment of
tuition.� Disabled children between three and five years of age and receiving
programs and services pursuant to N.J.S.18A:46-6 shall be included in the
resident enrollment of the district;

���� "School district"
means any local or regional school district established pursuant to chapter 8
or chapter 13 of Title 18A of the New Jersey Statutes;

���� "State facility"
means a State developmental center, a State Division of Youth and Family
Services' residential center, a State residential mental health center, a
Department of Children and Families Regional Day School, a State training
school/secure care facility, a State juvenile community program, a juvenile
detention center or a boot camp under the supervisional authority of the Youth Justice
Commission pursuant to P.L.1995, c.284 (C.52:17B-169 et seq.), or an
institution operated by or under contract with the Department of Corrections,
Children and Families or Human Services, or the Youth Justice Commission;

���� "Statewide equalized
school tax rate" means the amount calculated by dividing the general fund
tax levy for all school districts, which excludes county vocational school
districts and county special services school districts as defined pursuant to
this section, in the State for the prebudget year by the equalized valuations
certified in the year prior to the prebudget year of all taxing districts in
the State except taxing districts for which there are not school tax levies;

���� "Tax levy growth
limitation" means the permitted annual increase in the adjusted tax levy
for a school district as calculated pursuant to sections 3 and 4 of P.L.2007,
c.62 (C.18A:7F-38 and 18A:7F-39).

(cf: P.L.2025, c.100, s.4)

���� 5. This act shall take effect
immediately and shall first apply to the first full school year next following
the date of enactment.

STATEMENT

���� This bill revises requirements
for enrollment counts used to determine State aid to school districts to
include a second enrollment count.� The bill stipulates that a school
district�s resident enrollment would be equal to the average of both enrollment
counts.

���� Under current law, school
districts are required to report resident enrollment to the Department of
Education as of the school day prior to October 16. The bill would require a
second enrollment count to be conducted on the school day prior to February 2
of each year. The bill provides that, for the purposes of determining State
aid, a district�s resident enrollment would be equal to the average of the
enrollment determined by each of the counts conducted.

���� Additionally, the bill
provides that in the case of students placed in a State facility by the
district or the State, enrollment counts would only occur on the last school
day prior to October 16 of the prebudget year.