Gov. Phil Murphy signed legislation (P.L.2022, c.18) on June 30 that includes a direct appropriation of $350 million to the New Jersey Schools Development Authority to provide funding for grant projects in regular operating districts, according to an advisory issued by the New Jersey Department of Education in conjunction with the NJSDA.

Under the ROD grant program, school districts are eligible to receive at least 40% of approved eligible project costs – and some districts may be eligible for a higher share. The funding percentage for a grant is based upon each district’s district aid percentage multiplied by the eligible project costs established by the NJDOE. Districts must be able to demonstrate local matching funds for the balance of the project costs.

For a school facilities project to be considered for grant funding, the proposed scope of work must be 100% eligible for state support. Only projects that are 100% eligible for state support and included in the prioritization as outlined are eligible for a ROD grant. Funds may be used to address health and safety, essential upgrades or repairs, and other related projects.

Only projects that will not require a local referendum to raise the local funding portion will be eligible to receive grant funding. For those districts seeking larger projects that would require a local referendum, debt service aid is available to provide state support for those projects through NJDOE. The application window for these funds is forthcoming.

To learn more about eligibility requirements and priority levels, refer to the full advisory.