S2166

A Supplement to "An Act making appropriations for the support of the State Government and the several public purposes for the fiscal year ending June 30, 1998 and regulating the disbursement thereof," approved ........., 1997 (P.L.1997, c.....).

1. In addition to the amounts appropriated under P.L.1997, c...., there is appropriated out of the Property Tax Relief Fund the following sum for the purpose specified:

PROPERTY TAX RELIEF FUND 34 DEPARTMENT OF EDUCATION 30 Educational, Cultural and Intellectual Development 34 Educational Support Services 5120 Division of School Finance and Regulatory Services 38 Facilities Planning and School Building
38-5120 Facilities Planning and School Building Aid ...........................		$25,000,000
State Aid:
School Building Aid ............................................. .................................................................	($25,000,000)

Of the amount hereinabove appropriated, $12 million shall be distributed to each district that is eligible to receive debt service aid for its school bond and lease purchase payments for interest and principal payable during the 1997-98 school year using the district State percentage share in the 1996-97 school year. The remaining $13 million shall be distributed to eligible school districts using the State percentage share for the 1997-98 school year. Each district's State percentage share for the 1997-98 school year shall be determined by dividing the district's core curriculum standards aid entitlement calculated pursuant to section 15 of P.L.1996, c.138 (C.18A:7F-15) by its T&E budget calculated pursuant to section 13 of P.L.1996, c.138 (C.18A:7F-13).

2. This act shall take effect immediately but shall remain inoperative until the enactment into law of the annual appropriations act for the fiscal year ending June 30, 1998, P.L. 1997, c....... .

This bill provides a supplemental appropriation of $25 million in State debt service aid to eligible school districts. Under the Governor's recommended budget for the 1997-98 school year, each eligible school district would receive debt service aid equal to 49.7% of its aid entitlement which is calculated by using the 1996-97 State percentage share multiplied by the district's 1997-98 debt service obligations including lease purchase agreements. This supplemental appropriation provides an additional $12 million to increase the proration from 49.7% to 58.4% which was the funding level in the 1996-97 school year. The remaining $13 million supplemental appropriation is to be distributed to districts using the State percentage share for the 1997-98 school year which is the percentage by which the district's T&E budget is supported through core curriculum standards aid.

Supplemental appropriation of $25 million in school building aid to certain public school districts.