School Aid Spared in Governor’s ‘Sober’ Budget

School Aid Spared in Governor’s ‘Sober’ Budget

Gov. Jon Corzine on Tuesday proposed what he termed a “sober and responsible budget” that calls for many cuts, but leaves in place the $532 million increase in state school aid created by the School Funding Reform Act of 2008. The proposal also retains property tax rebates for moderate- and middle-income residents and programs for the state’s most vulnerable citizens.

The governor’s proposal for 2008-2009 would total approximately $33 billion, half a billion dollars less than the state’s current budget.

When drafting the budget, Corzine said the administration “began by prioritizing and protecting the core responsibilities of government: Educating our children, providing for public safety, caring for the most vulnerable, and in New Jersey, sustaining property tax relief.”

“After these priorities, all spending was on the cutting table,” Corzine told legislators in his budget address.

While numerous areas in the budget will be cut, aid to public schools will increase by $532 million this year. That increase is the result of the state’s new school funding formula, the School Funding Reform Act of 2008, which was enacted in January.

On the chopping block are:

Property tax rebates for households earning over $150,000, with as much as a third reduced from rebates to those earning $100,000 to $150,000.
Municipal aid, particularly towns with fewer than 10,000 residents.
At least 3,000 jobs—many to be reduced through attrition and early retirements—from the state’s nearly 68,500-member workforce. This is in addition to the 2,000 jobs left unfilled in the past two years through a hiring freeze.
Three state departments: Personnel, Agriculture, and Commerce.
A portion of funding for higher education and hospitals, as well as spending in every department of the executive branch.

“Frankly, New Jersey has a government its people cannot afford,” Corzine said.

The Legislature will deliberate over the governor’s proposal, and develop an appropriations act, which must be sent to the governor before July 1. In the process, the lawmakers could change the governor’s proposal, including the school aid recommendation.

NJSBA encourages school board members to establish a positive dialogue with their state lawmakers to address the need to support the governor’s entire request for state school aid.