SCR9

A Concurrent Resolution proposing to amend Article VIII, Section IV, paragraph 1, and Article VIII, Section I, paragraph I of the Constitution of the State of New Jersey.

Be It Resolved by the Senate of the State of New Jersey (the General Assembly concurring):

1. The following proposed amendment to the Constitution of the State of New Jersey is agreed to:

1. The Legislature shall 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 18 years. Maintenance and support shall be provided by the funding of a system of free public schools through a combination of State and local taxing district revenues. However, the local share of the funding each local real property taxpayer can be required to pay through all local school district residential real property taxes, excluding debt service, shall not exceed an equalized tax rate of $.90 per $100 of the equalized valuation of the taxing district. The funding each local real property taxpayer can be required to pay through all local school district non-residential real property taxes, excluding debt service, shall not exceed an equalized tax rate of $.90 per $100 of the equalized valuation of the taxing district or the current equalized tax rate per $100 of the equalized valuation of the taxing district, if greater than $.90 per $100 of the equalized valuation of the taxing district. The balance of funds necessary to maintain a thorough and efficient system of free public schools shall be provided by the State

1. (a) Property shall be assessed for taxation under general laws and by uniform rules. All real property assessed and taxed locally or by the State for allotment and payment to taxing districts shall be assessed according to the same standard of value, except as otherwise permitted herein, and such real property shall be taxed at the general tax rate of the taxing district in which the property is situated, for the use of such taxing district, provided, however, that for all local school district taxes upon real property, all real property shall be assessed according to two classifications wherein one class is residential property, as shall be defined by the Legislature from time to time, and the other class is all other property, and the general tax rate for local school district purposes shall not exceed the equalized tax rates prescribed in Article VIII, Section IV, paragraph 1.

(b) The Legislature shall enact laws to provide that the value of land, not less than 5 acres in area, which is determined by the assessing officer of the taxing jurisdiction to be actively devoted to agricultural or horticultural use and to have been so devoted for at least the 2 successive years immediately preceding the tax year in issue, shall, for local tax purposes, on application of the owner, be that value which such land has for agricultural or horticultural use.

Any such laws shall provide that when land which has been valued in this manner for local tax purposes is applied to a use other than for agriculture or horticulture it shall be subject to additional taxes in an amount equal to the difference, if any, between the taxes paid or payable on the basis of the valuation and the assessment authorized hereunder and the taxes that would have been paid or payable had the land been valued and assessed as otherwise provided in this Constitution, in the current year and in such of the tax years immediately preceding, not in excess of 2 such years in which the land was valued as herein authorized.

Such laws shall also provide for the equalization of assessments of land valued in accordance with the provisions hereof and for the assessment and collection of any additional taxes levied thereupon and shall include such other provisions as shall be necessary to carry out the provisions of this amendment.

2. When this proposed amendment to the Constitution is finally agreed to, pursuant to Article IX, paragraph 1 of the Constitution, it shall be submitted to the people at the next general election occurring more than three months after the final agreement and shall be published at least once in at least one newspaper of each county designated by the President of the Senate and the Speaker of the General Assembly and the Secretary of State, not less than three months prior to the general election.

3. This proposed amendment to the Constitution shall be submitted to the people at the election in the following manner and form:

There shall be printed on each official ballot to be used at the general election, the following:

a. In every municipality in which voting machines are not used, a legend which shall immediately precede the question, as follows:

If you favor the proposition printed below make a cross (x), plus (+) or check () in the square opposite the word "Yes."

If you are opposed thereto make a cross (x), plus (+) or check () in the square opposite the word "No."

		LIMIT ON LOCAL SHARE OF FUNDING FOR THOROUGH AND EFFICIENT EDUCATION
	YES	Do you approve the proposed amendment of Section IV, paragraph 1 and Section I, paragraph 1 of Article VIII of the Constitution of the State of New Jersey, which provides that the maintenance and support of a thorough and efficient system of free public schools be provided through a combination of State and local revenues with the local share which can be raised through local school district residential real property taxes, excluding debt service, not exceed a tax imposed upon each taxpayer at an equalized tax rate of $0.90 per $100 of equalized evaluation of the taxing district and through local school district non-residential real property taxes, excluding debt service, not exceed a tax imposed upon each taxpayer at an equalized tax rate of $0.90 per $100 of equalized evaluation of the taxing district or the current equalized tax rate per $100 of equalized evaluation of the taxing district, if greater than $.90 per $100 of equalized valuation of the taxing district, and the balance of funds be provided by the State from State revenues?
		INTERPRETIVE STATEMENT
	NO	This constitutional amendment prescribes the manner in which funding shall be provided for the maintenance and support of a thorough and efficient system of free public schools throughout the State. The system is to be funded by a combination of State revenue and locally raised tax revenue. The local share of the funding that each local taxpayer can be required to pay through local school district residential real property taxes, excluding debt service, shall not exceed an equalized tax rate of $0.90 per $100 of the equalized valuation of the local taxing district. The local share of the funding that each local taxpayer can be required to pay through local school district non-residential real property taxes, excluding debt service, shall not exceed an equalized tax rate of $0.90 per $100 of the equalized valuation of the local taxing district or the current equalized tax rate per $100 of the equalized valuation of the local taxing district, if greater than $.90 per $100 of the equalized valuation of the taxing district. The State is required to provide the balance.

This proposed amendment would classify real property as residential and non-residential and establish a different rate of taxation of these classes for local school purposes. This proposed amendment specifies that local share, excluding debt service, would be the amount which can be raised through the local school district residential real property taxes at an equalized tax rate of $0.90 per $100 of equalized evaluation, and the amount which can be raised through the local school district non-residential real property taxes at an equalized tax rate of $0.90 per $100 of equalized evaluation or the current equalized tax rate, if greater than $.90 per $100 of equalized evaluation. The State would be responsible for the balance of the funding.

Proposes an amendment to the Constitution to limit the use of local real property taxes for funding public education.