Final Analysis of the FY 2016- 2017 Education Budget Signed by the Governor

Earlier this month, New Jersey’s FY 2017 Budget went into effect after several changes from Governor Christie’s originally proposed budget. According to the Governor’s press release, the budget includes $34.5 billion in state appropriations, a 2.1 percent increase over the fiscal year 2016 budget.

Education

The fiscal year 2017 budget proposes spending more than $13.3 billion on education, an increase of $526 million from fiscal year 2016, making it the highest amount of School Aid supporting Pre-K through12 education in New Jersey for the sixth consecutive year.

1. For the third year in a row, New Jersey has continued the County Vocational School District Partnership Grant Program. NJBIA originally advocated for this grant program, which encourages vocational schools to partner with local high schools and county colleges to create career programs in existing facilities. However, the funding has been cut to $1 million.
2. The budget includes Host District Support Aid, a new $25.9 million funding category intended to help stabilize the budgets of urban school districts with growing charter sectors, benefitting both district schools and charter schools.
3. Professional Learning Community Aid provides $10 per student for every district to help support teachers and administrators analyze and use student assessment data to improve instruction.
4. Formula Aid, Preschools Education Aid, Under Adequacy Aid and Supplemental Enrollment Growth Aid funding have remained the same.

The Governor used his line item veto power to remove and reduce about $300 million in state spending proposals approved by the Legislature, including $4 million for adult career and technical education programs, $25 million for expansion of Preschool Education Expansion Aid (PTRF) and funding for Programmatic Stabilization Aid.

Higher Education

Overall, higher education funding is maintained at a total of $2.2 billion in fiscal year 2017.

1. The Tuition Aid Grant will increase $17.8 million to a total of $403.6 million. Typical awards at all levels of need will increase by 2 percent over fiscal 2016 award levels, and the program will support more than 68,000 New Jersey students.
2. College Readiness Now is funded at $1 million in fiscal year 2017 to help students prepare for college level course work before they graduate high school. Funding will fully support partnerships between the county colleges and at least 60 high schools throughout the state, with at least one in each county.
3. Senior Public Institutions appropriations remain the same at $41 million, however, the net fringe benefits of each institution declined.
4. County College appropriations remain the same. However, their net fringe benefits, which include our Basic Skills Training program, increased slightly.
5. The only major additional funding is $10 million to Seton Hall University School of Health and Medical to help launch its medical school.

For the complete budget signed into law, click here.