SENATE EDUCATION COMMITTEE

STATEMENT TO

SENATE, No. 2507

STATE OF NEW JERSEY

DATED:  JUNE 25, 2020

The Senate Education Committee favorably reports Senate Bill No. 2507.

      Under current law, a board of education is prohibited from using its capital reserve account for current expenses of the general fund.

      Under this bill, when a school district is required to close the schools of the district for more than three consecutive school days because of a declared public health emergency, state of emergency, or directive by the appropriate health agency or officer to institute a public health related closure, the district may use the funds in its capital reserve account for: current expenses related to the declared public health emergency, state of emergency, or directive; and for expenses incurred in connection with the transition to and use of virtual or remote instruction.

      The bill will be retroactive to March 18, 2020, the date on which the Governor required that schools be closed under Executive Order 104 of 2020 issued in response to the coronavirus disease 2019.