Solutions


There are 2 areas of solutions-oriented advocacy:

  • State level
    • Statements given by Superintendents, BOE Presidents & Vice Presidents, Teacher Union Presidents, and Parents all indicate that the current funding formula is not working and districts need money and predictability.

    • Continue to attend hearings & meetings to explain the local fair share problem, the impact, and outline the below proposed solutions.

      • Ensure that Equalization Aid fully covers the gap between the Adequacy Budget and the Local Fair Share. 

      • Use five-year rolling averages for Local Fair Share calculations to reduce volatility and provide consistent funding.

      • Allow school districts to go above the 2% cap for general operating expenses when there is a large gap between Local Fair Share and the actual local tax levy received.

      • Extend budget planning timelines and provide 3-5 years of state aid projections to allow districts to plan effectively.

      • Cap annual state aid cuts with a maximum reduction ceiling to protect districts from abrupt funding losses.

  • Local level
    • Continue raising the funding gap issue at BOE and Borough meetings

    • A concentrated effort to bring the BOE and Borough together regarding this particular item

    • Solutions at the local level:

      • Tax Neutral Solutions

        • A new PILOT agreement that would increase the percentage going to schools from 10% to 52% (state school property tax average)

        • A percentage of the borough's unappropriated surplus sent to schools (permissible under the New Jersey Statute, Title 40, Section 40:48-17.1)

        • A percentage of cannabis sales tax sent to schools (this is a brand new revenue stream for our town)

      • Tax Raising Solutions

        • In partnership with the borough, a district referendum to increase the operating budget. This could include a pause on borough tax increases, so tax payers are not hit with a double tax increase.

        • Borough utilizes bank cap and sends 52% (state school property tax average) to schools


Here are several examples, created out of a strong relationship between a school district and their town:

  • City of Hoboken and schools reach deal for $500,000 payout from PILOTs (30 year PILOTs, increasing school budget by an additional 2% per year)

  • Parsippany Troy Hills School District in early discussion with their Township regarding PILOTs contribution

  • In July 2024, Warren Township passed a resolution to split future PILOT payments 60% to township and 40% to the school district

  • Robbinsville School District increased their operating budget through joint effort with Township

    • District passed a $2.75 million referendum (vote necessary)

    • Township sent additional funding to district from Township surplus budget (no vote necessary)

    • Township agreed to continue keeping their tax rate flat (no vote necessary)