The Senate Education Committee met Thursday, Dec. 5 and considered a lengthy 10-bill agenda. The most noteworthy bill would make various changes to how New Jersey funds its public schools. A full rundown of the bills considered by the committee follows below. Unless otherwise noted, each of the measures received committee approval.

SFRA Reform S-3917 would make various changes to state school aid, including the local tax levy cap, extraordinary special education aid, and vocational expansion stabilization aid. It would also establish a new category of aid referred to as “reduction adjustment aid” and would add certain requirements for the issuance of the Educational Adequacy Report. The bill was posted “for discussion only” and therefore did not receive a vote but could be advanced at a future hearing.

Under current law, a school district is generally limited to a 2% increase in any single year to its local tax levy, plus adjustments for increases in enrollment, health care costs and pension contributions. The bill would amend this tax levy increase cap and allow a district to increase its tax levy up to the lesser of the district’s local share, which is the amount that the current school funding formula determines that a district can afford to raise locally, or a 7% increase from the prior year tax levy. As is the case under current law, Schools Development Authority districts that are below their local share would continue to be permitted to increase their tax levies up to the district’s local share. Any district, including SDA districts, for which the tax levy is already greater than the local share would be permitted to increase its tax levy by 2% of the prebudget year tax levy.

The bill provides for a gradual phase-in of full funding of extraordinary special education aid over five years and reduces the reimbursement threshold for students educated in public school programs that are integrated into the classroom from $40,000 to $35,000.

The bill also provides that, for a county vocational school district that receives vocational expansion stabilization aid, the amount of vocational expansion stabilization aid received is to be adjusted to allow for increases in resident enrollment.

The bill establishes “reduction adjustment aid” to ensure that the amount of state school aid provided to a district is not to be decreased by more than 2% of the district’s prebudget year total operating budget. The bill also extends the municipal overburden protections under “S-2” that prevent high-tax, low-income school districts from receiving reductions in state aid.

Finally, the bill addresses the Educational Adequacy Report and seeks to enhance transparency surrounding state school funding. It would require the New Jersey Department of Education to make available on the department’s website the calculation of aid payable to each school district in the succeeding year in a user-friendly manner, including explanations of the variables used to determine the district’s aid. It would also allow the commissioner of education to initiate a review of certain elements of the funding formula, including the metrics for adjusting costs in intervening years. A draft of the EAR would need to be made available for public comment for at least 30 days, during which time members of the public may provide feedback. Additionally, during the development of the next EAR, the commissioner shall engage a diverse group of stakeholders to review and make recommendations concerning: the calculation of a district’s local share and whether the metrics used are best able to estimate a district’s potential adjusted tax levy; the impact and feasibility of using multi-year averages in the calculation of local share; the feasibility of implementing a tier-based model of funding for determining special education categorical aid; the abilities of NJDOE and school districts to predict and anticipate state school aid amounts from year to year; and possible methods of improving upon the existing preschool funding methodology.

In testimony before the committee, the NJSBA expressed its overall support for S-3917 while offering suggestions for improvement to the bill prior to it returning to the committee for a vote. The NJSBA endorsed provisions of the bill that increase flexibility in the tax levy cap for certain districts, reduce the magnitude of potential state aid cuts, allow for more transparency of and public input into various aspects of the funding formula, and highlight the need for full funding of extraordinary special education aid. In addition to expressing support for those provisions, the NJSBA suggested that the bill be amended to adjust the calculation of local fair share by transitioning to multi-year averages of income and equalized valuation to mitigate large year-over-year state aid fluctuations. Finally, the NJSBA stressed the importance and timeliness of making the proposed changes to avoid the need for emergency action by the Legislature after districts receive their state aid notices for fiscal year2026, as has been the case in the last two budget cycles.

Lead Testing Results S-988 would require the NJDOE and the Department of Children and Families to establish online reporting systems for schools to report lead testing results. Under current regulations, all schools in the state are required to test for lead in drinking water. This bill would require those schools to submit and resubmit lead testing results via the online reporting system within 90 days after the establishment of such a system. The bill would also require both departments to prepare and submit a report outlining the extent of lead contamination in the drinking water of schools, the associated need for assistance with remediation activities, and recommendations for how the state can assist with remediating lead in drinking water. The bill stems from recommendations in the Joint Legislative Task Force on Drinking Water Infrastructure’s final report, released in 2018.

The New Jersey School Boards Association is monitoring the bill. Its counterpart in the Assembly, A-572, has not yet moved.

Background Checks for Athletic Officials S-1239 would require the New Jersey State Interscholastic Athletic Association to require criminal history records checks for people serving as officials at athletic events sanctioned by the association. A prospective or current official would be disqualified from serving as an official for any NJSIAA-sanctioned events if the person’s criminal history record information revealed a record of conviction for a disqualifying crime or offense.

The NJSBA supports the bill. Its counterpart in the Assembly, A-4405, has not yet moved.

Sunscreen Policies S-1548 would require school districts to adopt policies concerning student use of sunscreen and sun-protective clothing at school and school-sponsored functions. The policy would not require a student to provide documentation from a physician or other licensed health care professional. As amended, the policy may require written permission from a student’s parent or guardian but may not require school personnel to assist a student in applying sunscreen.

The NJSBA supports the amended bill. Its counterpart in the Assembly, A-1028, was approved by the Assembly Education Committee in October.

Mentoring at Crisis Zone Schools S-1777 would direct the commissioner of education to establish a three-year pilot program for the implementation of school-based mentoring in public schools located in a “crisis zone.” As defined in the bill, a crisis zone is an area within 1,000 feet of school property where gunfire occurred in the prior school year. Under the amended version of the bill, the commissioner would select the Jersey City School District and, upon application to the commissioner, six additional public schools located in crisis zones to participate in the program. The commissioner would be responsible for adopting a curriculum for the mentoring program and would be authorized to make grants to participating schools. Those schools would be required to designate and train three to five mentors to facilitate the program, identify students for the program who have problems in certain developmental areas, use the curriculum approved by the commissioner and evaluate participating students at the beginning, mid-point and completion of the curriculum.

The NJSBA supports the amended bill.

Denying Admittance for Tardiness or Dress Code Violations S-1780 would prohibit school districts from denying admittance to students due to tardiness or due to a violation of dress code or school uniform policies (except in an instance of violating a dress code policy that prohibits students from wearing gang-affiliated clothing). The bill was amended in committee to clarify that a board of education is not restricted from enforcing any adopted student code of conduct or policy that does not conflict with the admittance provisions of the bill.

The NJSBA supports the bill with the amendments that ensure schools will be able to continue enforcing code of conduct policies due to tardiness or dress code violations.

Revised Financial Literacy Requirement S-3497 would amend an existing law that requires middle school students to receive instruction in financial literacy to also require high school students to receive such instruction. The bill would require, for a state-endorsed diploma, that district boards of education develop, adopt and implement local graduation requirements that require a high school student to complete the financial literacy course over a one-semester or one-trimester period, as applicable. The bill also adds additional content to be included in the financial literacy curriculum, including behavioral economics, banking, consumer skills, taxes, college financial planning and accounting, and it clarifies that instruction that principally addresses economic, business and entrepreneurial literacy does not satisfy the financial literacy instruction requirement. Finally, the bill amends the law to require that the financial literacy instruction be taught by teachers with appropriate instructional endorsements.

The NJSBA has expressed concerns on the bill and has joined several other education organizations in seeking amendments to provide districts with more flexibility in implementing the revised instructional mandate. Its counterpart in the Assembly, A-4764, has not yet moved.

Transportation for Homeless Students S-3537 would require the state to bear the partial cost of transportation of certain homeless students to school. Under current law, when a homeless child attends school in their district of residence while temporarily residing in another district, the district of residence is required to provide transportation to and from school. Additionally, if a student moves from one school district to another as a result of being homeless due to an act of terrorism or a natural disaster, that student can remain in the original district for two years and the original district is required to provide transportation to and from school. This bill would, in both circumstances, require the state to bear any cost for that transportation that exceeds the average per-pupil cost for transportation services in the district of residence or original district, respectively.

The NJSBA supports the bill. Its counterpart in the Assembly, A-4545, has not yet moved.

Cell Phone and Social Media Policy S-3695 would require the NJDOE to develop a cell phone and social media usage policy and would require each board of education to adopt such a policy. Under the bill, the commissioner would develop a policy applicable to students enrolled in grades kindergarten through 12 concerning student use of cell phones and social media platforms. The amended bill clarifies that the commissioner shall consult with various stakeholders, including the NJSBA, when creating the policy. At a minimum, the policy is to:

  1. Provide age appropriate and grade-level differentiated policies concerning limiting and prohibiting student use of cell phones and social media platforms.
  2. Prohibit non-academic use of a cell phone or social media during classroom instruction.
  3. Be consistent with state and federal law including accommodations provided in a student’s Individualized Education Program or educational plan.
  4. Permit student use of cell phones in the case of an emergency or in response to a perceived threat of danger.
  5. Permit student use of cell phones upon submission by a parent or guardian of documentation from a health care professional indicating that the use of a cell phone is necessary for the health or well-being of the student.
  6. Address smartphones, cell phones with only text or voice, and other relevant devices, including smart watches.
  7. List options that may be utilized by a school district for cell phone storage, including locked pouches and cell phone lockers.
  8. Provide guidance for a school district to establish network-based restrictions to prevent the use of, or access to, social media platforms.
  9. Detail protocols for communicating the district’s policy concerning student use of cell phones and social media platforms to students, their families and teaching staff members.

The bill would also require each board of education to adopt a policy concerning student use of cell phones and social media platforms. The policy is to be consistent with the policy developed by the commissioner. Additionally, the bill would permit the commissioner to grant an exemption to a board of education for the requirement to adopt the policy upon submission of an application.

The NJSBA testified in support of the spirit and intent of the bill while also seeking amendments from the sponsor. The testimony included an acknowledgement that it would be appropriate for school districts to affirmatively address the use of cell phones in schools, but also cautioned that there should not be a prescriptive one-size-fits-all approach to creating a mandated statewide policy to be adopted by all boards of education. Rather, it is necessary and appropriate for boards of education to have flexibility in crafting their policies based on community preferences. The NJSBA recommended that the bill be amended to remove specific components required to be included in district policies, and instead have the commissioner create a model policy that boards may then refer to when forming their own individual district policies.

The bill’s counterpart in the Assembly, A-4882, has not yet moved.

Physical Education Opt-Out (Discussion Only) S-2901 permits a public high school student in the tenth, eleventh, or twelfth grade who participates in a school-sponsored sport and who is scheduled to attend a physical education course during the athletic season of that sport to substitute the physical education course with a study hall. The student who chooses to substitute the physical education course with a study hall would receive the number of high school graduation credits equal to the number received for completing the physical education course for participating in the sport. Every school district would be required to develop a policy allowing eligible students to substitute a physical education course with a study hall.

The bill requires the parent or guardian of the student to provide the school district with written approval for the substitution. The coach of the school-sponsored sport is given the responsibility to certify to the school district the student’s participation in the sport. In addition, the student’s school counselor would need to certify that the student is eligible to substitute physical education with a study hall and also approve of the substitution.

The bill provides that the school district is to determine which school athletic activities constitute a school-sponsored sport. Only student-athletes participating in school-sponsored sports would be permitted to elect to substitute study hall for physical education during that athletic season.

While generally supportive of the bill’s intent, the NJSBA is seeking amendments that would make it permissive rather than mandatory. The NJSBA argued that opt-out policies should be determined and crafted at the local, rather than state, level. This would allow for all stakeholders – parents, students, staff, administrators, boards of education, etc. – to collectively decide whether an opt-out policy is appropriate based on community preferences and resources and under what conditions student-athletes should be able to take advantage of such a policy. Furthermore, school districts already can and do establish policies, often under “Option II,” that allow student-athletes to opt out of physical education.

This bill was up for discussion only, and therefore did not receive a vote.

To view the full text of any of the bills summarized above, please visit the New Jersey Legislature’s website.