This last week of June marks one of the busiest periods at the State House as the Legislature races against a constitutional deadline to pass a balanced state budget by June 30 to avoid a government shutdown. The process is typically frantic and chaotic, and this year was no different.
On Wednesday, June 26, the budget committees in both houses received the final budget documents around 8 PM, leaving less than an hour for review before voting. Due to a legislative rule requiring a bill to “sit” for a day between a committee hearing and a floor vote, the Legislature reconvened on Friday, an unusual day for legislative sessions, for a voting session to pass the budget bill and sent it to Governor Murphy’s desk, just in time to meet the deadline.
The FY 2025 budget, at a record $56.6 billion dollars, includes significant spending increases (six hundred million in new spending) and some controversial tax hikes (2.5% surtax on corporations). The final budget document included $728 million more in spending than what Governor Murphy first proposed at his budget address in February and a structural budget deficit that grew by more than $300 million to $2.1 billion. You can read more about it at Governor Murphy’s press release on the budget and its scoresheet to see the differences from the original proposal. Additionally, the process’s transparency remained a concern, as the bill was not publicly available at the time of the lawmakers’ vote.
However, there are notable positives in the budget, particularly in public education. The budget fully funds the school funding formula and makes a complete payment to the public employee pension fund. Moreover, several other significant bills are expected to be considered on Friday, including a literacy package that NJPSA helped craft and secure funding for, along with other education-related proposals.
In addition to the budget bill (/S-2025), the following education related bills were considered by the Legislature on Friday.
Key Bills Signed Into Law this Weekend:
- A-4700/S-2025 Appropriates $56,635,803,000 in State funds and $27,501,993,844 in federal funds for the State budget for fiscal year 2025. For a summary of the FY2025 Appropriations, click here. Signed into June 28th, 2024, with Line Item, Veto P.L.2024, c.22
- A-1669/S-1287 Removes obstacles to teacher certification for certain teachers; repeals law establishing alternative certificate of eligibility Signed into June 28, 2024, P.L.2024, c.26
- A-4702/S-3514 Phases out sales and use tax exemption on zero emission vehicles; repeals annual sales tax holiday for certain school supplies and sport or recreational equipment Signed into law on June 28, 2024, P.L.2024, c.19
Other Key Bills Awaiting Action by Governor Murphy:
- S-3263/A-1677 Authorizes use of competitive contracting and extended terms for lease and purchase contracts for electric school buses; permits New Jersey School Boards Association to serve as government aggregator to obtain energy services for local units Passed Both Houses, Awaiting Action by the Governor
- A-2288/S-2647 Establishes Office of Learning Equity and Academic Recovery in DOE Passed Both Houses, Awaiting Action by the Governor
- A-4084/S-2837 Authorizes school districts to submit separate proposals for additional spending for subsequent budget year at special school election Passed Assembly (70-7-0) on June 28, 2024, Passed Both Houses, Awaiting Action by the Governor
- S-2644/S-2645/S-2646/A-4303/4304/4308 Requires DOE to establish working group on student literacy; mandates universal literacy screenings for kindergarten through grade three students; requires professional development for certain school district employees Passed Assembly (70-1-0) on June 28, 2024, Passed Both Houses, Awaiting Action by the Governor
- A-4533/S-3421 Revises certain sections of law concerning financing mechanisms for school facilities projects of regular operating districts Passed Both Houses on June 28, 2024, Awaiting Action by the Governor
- A-2288/S-2647 Establishes Office of Learning Equity and Academic Recovery in DOE Passed Both Houses on June 28, 2024, Awaiting Action by the Governor
Other Key Bills Acted Upon on Friday:
- A-1675 Extends membership in TPAF to 10 years after discontinuance of service and to 15 years for those who were laid off or had 10 or more years of continuous service upon voluntary termination Passed by the Assembly (67-6-0) June 28, 2024; Awaiting Action by the Senate
- A-3323 Requires pay for extracurricular activities to be included in compensation for TPAF purposes Passed by the Assembly (66-10-1) on June 28, 2024, Awaiting Action by the Senate
- A-3416 Provides gross income tax deduction to eligible educators and paraprofessionals for expense of classroom supplies Passed by the Assembly (76-0-0) on June 28, 2024, Awaiting Action by the Senate
- A-3446 “Freedom to Read Act”; establishes requirements for library material in public school libraries and public libraries; protects school library staff members and librarians Passed by the Assembly (53-20-1) on June 28, 2024, Awaiting Action by the Senate
- A-4048 Requires upcoming Educational Adequacy Report to include comprehensive review of certain components of school funding in consultation with certain stakeholders and experts Passed by the Assembly (74-2-1) on June 28, 2024, Awaiting Action by the Senate
- ACR-115 Urges United States Congress to pass “Universal School Meals Program Act of 2023 Passed by the Assembly on June 28, 2023, Awaiting Action by the Senate
Additionally, we will have two new members of the New Jersey State Board of Education,Oon Friday, June 28th, the Senate voted on Advise and Consent to nominate Ahmed Shehata to replace Fatimah Burman-Watkins, for the term prescribed by law, currently set to expire June 30, 2029, as well as Claudine Keenan to replace Andrew Mulvihill, currently set to expire on June 30, 2027.
Thank you for hanging in with us as we tracked the FY 2025 budget season, and all of its moving parts. We will continue to keep you informed as Governor Murphy takes action on the pile of bills that are currently on his desk. In the meantime, if you have any questions or concerns about any of the bills mentioned or the legislative process in general, please contact Debbie Bradley or Jennie Lamon. Thank you for your advocacy and all that you do!