ASSEMBLY EDUCATION COMMITTEE

STATEMENT TO

ASSEMBLY, No. 2741

STATE OF NEW JERSEY

DATED: MARCH 3, 1997

      The Assembly Education Committee favorably reports Assembly Bill No. 2741.

      The "Comprehensive Educational Improvement and Financing Act of 1996," P.L.1996, c.138, repealed the "School Efficiency Program Act," P.L.1995, c. 235. This bill would return to school districts in the 1997-98 school year the amount of State aid which was deducted from their aid entitlement in the 1996-97 school year. The 1996-97 State aid penalties were based on the individual district's budgeted per pupil administrative spending in the 1995-96 school year. In addition, the bill makes clear that beginning in the 1998-99 school year this additional State aid amount will be included in the district's prebudget year net budget and prebudget year net T&E budget.

      In the 1996-97 school year, $6,602,749 was deducted from the State aid entitlement of 63 school districts. This bill appropriates the same amount of money for additional State aid to those districts in the 1997-98 school year.