School Funding
Presented by: Steven DiGeronimo, Montclair Public Schools
School Funding History
- New Jersey Constitution Amended in 1875
- Requires that Legislature "provide for the maintenance and support of a thorough and efficient system of free public schools for the instruction of all children in the State between the ages of five and eighteen years."
- Public School Education Act of 1975 (Chapter 212)
- Result of the Robinson v. Cahill lawsuit challenging the State's system of financing public education.
- Reforms of the 1980s
- Abbott v. Burke - 22 separate cases
The Tax Burden
Schools have historically been heavily reliant on property taxes to fund operations. This has created inequities between towns that can afford high taxes and those that cannot.
It is a picture of New Jersey struggling to come to some consensus on its responsibility as to what is considered to fair and equitable. Through the evolution of this close to 50 year struggle, much of it comes down to: "What can we afford?"
School Funding Formulas
- The key to school district funding
- Based upon specific district data derived from multiple reports
- The funding formula can be tested for its Constitutionality, or soundness, but fiscal realities can cause other issues resulting in full or partial funding
Montclair Public Schools
Type I School District:
- Board of Education is appointed by the Township Mayor
- The Board of School Estimate is the taxing authority for the district
- The Board of School Estimate is comprised of two Board of Education members, 2two Township Council members and the Township Mayor for a five-member board.
Budget Process
- Budget is built by locations
- Each school - 7 elementary schools, 3 middle schools and 1 Hhigh school
- Athletics
- Pupil services
- Department of Equity, Curriculum & Instruction
- Operations & School Support Services
- Personnel
For the most part the budget is zero-based budgeting.
Budget Review Process
- Process begins in October
- Multiple review process beginning in December by:
- Department
- Administration
- Presentation and final reviews in February and March by:
- Board of Education
- Board of School Estimate
- Process ends in the beginning of April
2016-2017 Revenues
- Tax Levy, 91.90%
- State Aid, 6.50%
- Budgeted Fund Balance, 1.10%
- Local Revenues, 0.40%
- Federal Aid, 0.10%
2016-2017 Expenditures
- Salaries, 67.90%
- Health Benefits, 10.90%
- Discretionary Spending, 6.00%
- Transportation, 4.10%
- Out of District Tuitions, 4.00%
- Other Employee Benefits, 3.50%
- Other: Judgements, Legal Fees, General Property Insurance, Cleaning Contact, Workers Compensation, Food Service Deficit, 2.40%
- Utilities, 1.20%