Regional School Districts Could Benefit Under Proposed Bills

MANALAPAN, NJ — Legislative help is underway for regional school districts, including the Freehold Regional High School District, that have coped with years of eroding state aid, state Sen. Vin Gopal announced Wednesday.

Gopal, D-11th District, said a $6.76 million, bipartisan pair of bills to bolster regional school district funding is finding support on both sides of the aisle - and would encourage more regionalization of smaller districts.

Senate Education Chair Gopal and Assembly Speaker Craig Coughlin, D-19th District, are putting forward legislation that they said they "will move immediately" to stop funding cuts at regional school districts, they said. State Sen. Declan O'Scanlon, R-13th District, is also co-sponsor, Gopal said.

The Assembly versions have been introduced; the Senate version of the bill will be introduced Thursday, Gopal's office said. The Assembly version of the bill, A5575, will be voted on by the Assembly Education Committee on Thursday.

This would include funding to restore courtesy busing in the Freehold Regional High School District, which is being cut next year due to budget constraints under bill S-2 that has equalized state school funding for the past several years, resulting in cuts to so-called "overfunded" districts.

The legislation will also encourage smaller school districts who are facing cuts due to declining enrollment to go toward regionalization and adding shared services, Gopal said.

“Freehold Regional is a model school district. We need to encourage more districts to go toward regionalization and shared services the way Freehold Regional is. This bill will help achieve that. In addition, this will allow Freehold Regional to continue to offer courtesy busing for students,” said Gopal.

The regional district, with offices in Manalapan, serves more than 10,000 students in six high schools: Manalapan, Marlboro, Howell, Freehold Borough, Freehold Township and Colts Neck high schools.

State aid decreases since 2018 to equalize state funding under the state S-2 bill have squeezed the district budget for years, Superintendent Charles Sampson has said.

By next year, cumulative state aid reductions will have reached $30 million for the district. So far, 132 positions have been cut in the past few years, all while the district operates with the lowest per-pupil cost in the county ($14,000), he has said.

The new legislation would freeze cuts due to declining enrollment for those regional districts that meet the following:

• Have five or more towns, demonstrating it has mitigated the costs of regionalization.
• Spend at least 15 percent less in administrative costs than the statewide average for regional school districts.
• Have increased their tax levy by maximum amount allowed by law in each of the last five years.

“Many school districts have made a decision in their communities to consolidate districts in order to provide excellent educational opportunities while lowering costs. When it comes to state aid, we shouldn't penalize those districts for working hard to keeping costs down and property taxes lower,” said Coughlin.

The legislation has earned bi-partisan support with the sponsorship from Senate Republican Budget Officer O’Scanlon, who represents certain municipalities in the Freehold Regional district in the Senate, Gopal said.

In 2021, Gopal and O’Scanlon partnered to pass legislation aimed at eliminating barriers to school regionalization and creating financial incentives for districts that pursued regionalization, his office added.

Freehold Regional, O’Scanlon said, has already achieved that outcome.

“Freehold Regional is a model district. This legislation is the start of what we need to ultimately do - stop cuts from S-2 and establish a new school funding formula. But this legislation here today will allow Freehold Regional to stop funding cuts even if their enrollment goes down, which is key to making sure one of the most successful regional school districts in the state is allowed to grow and prosper,” O’Scanlon said.

Freehold Regional Schools Superintendent Sampson, who met with legislators to advocate for a solution, praised the legislation.

“We have faced significant cuts because of S-2. This bipartisan legislation is a game changer for Freehold Regional and for other school districts that want to move toward regionalization," Sampson said.

"I strongly urge every legislator to support the Gopal/Coughlin bill. I want to personally thank Senator Gopal and Senator O’Scanlon for their tireless efforts on behalf of the Freehold Regional Community. They have been constant sources of collaboration as we navigated the funding issues created under S-2. We are grateful for their support. Many thanks also to Speaker Coughlin for introducing the legislation,” Sampson said.

Marlboro Mayor Jon Hornik and Freehold Borough Mayor Kevin Kane, who, Gopal said, both worked with legislators on creating the legislation, explained more about the bill.

“This legislation is important for the residents of Marlboro Township. This will also allow Freehold Regional to continue courtesy busing for more than 3,000 students in the district," said Hornik.

And Kane said the state should be encouraging districts like Freehold Regional "when they are doing everything else right."

Kane and Hornik are both Democratic mayors among the school district's sending municipalities.

The bill will prevent further cuts to Freehold Regional for the coming school year and the 2024-2025 school year, after which the S-2’s adjustments to New Jersey’s school funding formula will end, Gopal's office said.

Legislators in District 30 in May introduced a bill (A4576) to restore $3.5 million in aid to the regional district to permit courtesy busing next year. Their office said Wednesday that Sen. Robert Singer and Assemblymen Sean Kean and Ned Thomson have asked to become co-sponsors of A-5575.

"They are committed to restoring courtesy busing at Freehold Regional that is essential to 3,000 students and families," their office said.

Gopal's office said he is advocating for the Senate and Assembly legislation to be voted on before the State Legislature recesses for the summer.