LEGISLATIVE FISCAL ESTIMATE TO

ASSEMBLY, No. 2665

STATE OF NEW JERSEY

DATED: MAY 12, 1997

      Assembly Bill No. 2665 of 1997 requires the State to pay any difference between the amount of State aid otherwise payable and the amount of the actual cost of tuition for a pupil for whom the State has assumed fiscal responsibility when the pupil is classified as needing special education services and is in a private educational facility.

      The Office of Legislative Services (OLS) estimates that the enactment of this bill would cost the State approximately $1.1 million in the 1996-97 school year. Information provided by the Office of Education in the Department of Human Services (DHS) indicated that currently there are 59 children whose districts of residence are unknown and are placed in private educational facilities. The tuition costs for these children are approximately $1.9 million in the 1996-97 school year. As a result of the State's under funding of the State Facilities Education Act program, the Office of Education in DHS received $821,898 in State aid to cover the actual tuition costs. The difference between the tuition costs and State aid under the "State Facilities Education Act of 1979" is $1.1 million in the 1996-97 school year. This bill would increase the amount of State Facilities Education Aid by $1.1 million to fully fund the educational cost of those 59 orphaned children who are classified as needing special education services and placed in private educational facilities. In the past, the Office of Education in DHS has supported the difference between State aid and tuition costs from prior year carryforward balances which are no longer available. The Office of Education in DHS also indicated that tuition costs for the 1997-98 school year for these placements are not expected to increase significantly; therefore, OLS estimates that State costs for the 1997-98 school year would be approximately $1.1 million.

      This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

This fiscal estimate has been prepared pursuant to P.L.1980, c.67.