Statement from Danielle Farrie, ELC Research Director, on Governor Sherrill’s Proposed FY27 NJ State Budget

Today, Governor Mikie Sherrill released the first state budget of her administration, maintaining a commitment to public education by increasing funding for K-12 formula aid and preschool.

Governor Sherrill’s proposal maintains the state aid formula adjustments put in place last year to provide some much-needed predictability and prevent significant reductions in school aid for some districts. Her proposal maintains the six percent cap on state aid increases and the three percent cap on state aid reductions. It funds districts based on actual, rather than average, special education classification rates, and uses multiyear averages of property values and income to calculate local share.

The proposal also increases preschool aid for existing programs and provides additional funding for preschool expansion. The budget includes increased funding for high-impact tutoring and student mental health services to support both academic learning and social-emotional well-being. Governor Sherrill’s budget recognizes the intense fiscal stress that many school districts are facing from the rising costs of transportation, special education services, and health benefits. The budget includes a commitment to explore cost-saving measures through shared services and also provides increased capacity at the Department of Education to improve fiscal accountability and increase support for financially struggling school districts.

“We are pleased to see that Governor Sherrill, despite a difficult fiscal outlook, recognizes the importance of remaining committed to the state’s school funding formula, while noting that updating is needed, and investing in the future of New Jersey students,” said Education Law Center Research Director Danielle Farrie. “We hope the Legislature will follow through on this commitment and continue to take the necessary steps to further improve educational opportunities in the state by ensuring that all students have access to the resources they need.”

Press Contact:
Sharon Krengel
Director of Policy, Strategic Partnerships and Communications
skrengel@edlawcenter.org
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