S4861

An Act concerning school district consolidation, amending N.J.S.18A:7-8, and supplementing chapter 7 of Title 18A of the New Jersey Statutes.

Be It Enacted by the Senate and General Assembly of the State of New Jersey:

1. N.J.S.18A:7-8 is amended to read as follows:

18A:7-8. Each executive county superintendent shall:

a. Visit and examine from time to time all of the schools under [his] the executive county superintendent’s general supervision and exercise general supervision over them in accordance with the rules prescribed from time to time by the State board;

b. Keep [himself] informed as to the management, methods of instruction and discipline and the courses of study and textbooks in use, the condition of the school libraries, and the condition of the real and personal property, particularly in respect to the construction, heating, ventilation and lighting of school buildings, in the local districts under [his] the executive county superintendent’s general supervision, and make recommendations in connection therewith;

c. Advise with and counsel the boards of education of the local districts under [his] the executive county superintendent’s general supervision and of any other district of the county when so requested, in relation to the performance of their duties;

d. Promote administrative and operational efficiencies and cost savings within the school districts in the county while ensuring that the districts provide a thorough and efficient system of education. The executive county superintendent may periodically review shared services arrangements between a school district and another district, a municipality, the county, or other unit of local government within that county for the provision of administrative, business, purchasing, public or nonpublic pupil transportation, or other school district services;

e. Based on standards adopted by the commissioner, recommend to the commissioner, who is hereby granted the authority to effectuate those recommendations, that certain school districts be required to enter arrangements with one or more other school districts or educational services commissions for the consolidation of the district's administrative services;

f. Recommend to the commissioner the elimination of laws the executive county superintendent determines to be unnecessary State education mandates, other than the categories of laws set forth in section 3 of P.L.1996, c.24 (C.52:13H-3);

g. Eliminate districts located in the county that are not operating schools on the effective date of P.L.2009, c.78 (C.18A:8-43 et al.), in accordance with a plan and schedule included in the plan submitted to and approved by the commissioner;

h. No later than three years following the effective date of sections 42 to 58 of P.L.2007, c.63 (C.18A:7-11 et al.), recommend to the commissioner a school district consolidation plan to eliminate all districts, other than county-based districts and other than preschool or kindergarten through grade 12 districts in the county, through the establishment or enlargement of regional school districts. After the approval of the plan by the commissioner, the executive county superintendent shall require each board of education covered by a proposal in the plan to conduct a special school election, at a time to be determined by the executive county superintendent, and submit there at the question whether or not the executive county superintendent's proposal for the regionalization of the school district shall be adopted. The question shall be deemed adopted if it receives a vote in accordance with the provisions of N.J.S.18A:13-5. If the question is adopted by the voters, then the regional district shall be established or enlarged in accordance with chapter 13 of Title 18A of the New Jersey Statutes;

i. Promote coordination and regionalization of pupil transportation services through appropriate means [such as] , including reviewing bus routes and schedules of school districts and nonpublic schools within the county;

j. Review and approve all employment contracts for superintendents of schools, assistant superintendents of schools, and school business administrators in school districts within the county, prior to the execution of those contracts. The review and approval of the employment contracts shall be according to standards adopted by the commissioner, provided that the standards shall not include maximum salary amounts for superintendents of schools;

k. Request the commissioner to order a forensic audit and to select an auditor for any school district in the county upon the determination by the executive county superintendent, according to standards adopted by the commissioner, that the accounting practices in the district necessitate [such] an audit;

l. Review all school budgets of the school districts within the county, and may, pursuant to section 5 of P.L.1996, c.138 (C.18A:7F-5), disapprove a portion of a school district's proposed budget if [he determines] it is determined that the district has not implemented all potential efficiencies in the administrative operations of the district or if [he determines] it is determined that the budget includes excessive non-instructional expenses. If the executive county superintendent disapproves a portion of the school district's budget pursuant to this paragraph, the school district shall deduct the disapproved amounts from the budget prior to publication of the budget, and during the budget year the school district shall not transfer funds back into those accounts;

m. Permit a district to submit to the voters a separate proposal or proposals for additional funds pursuant to paragraph (9) of subsection d. of section 5 of P.L.1996, c.138 (C.18A:7F-5), only if: (1) the district provides the executive county superintendent with written documentation that the district has made efforts to enter into shared arrangements with other districts, municipalities, counties, and other units of local government for the provision of administrative, business, purchasing, public and nonpublic transportation, and other required school district services; (2) the district certifies and provides written documentation that the district participates in on-going shared arrangements; or (3) the district certifies and provides written documentation that entering [such] shared arrangements would not result in cost savings or would result in additional expenses for the district;

n. Promote cooperative purchasing within the county of textbooks and other instructional materials;

o. Coordinate with the Department of Education to maintain a real time Statewide and district-wide database that tracks the types and capacity of special education programs being implemented by each district and the number of students enrolled in each program to identify program availability and needs;

p. Coordinate with the Department of Education to maintain a Statewide and district-wide list of all special education students served in out-of-district programs and a list of all public and private entities approved to receive special education students [that includes] with pertinent information [such as] , including audit results and tuition charges;

q. Serve as a referral source for districts that do not have appropriate in-district programs for special education students and provide those districts with information on placement options in other school districts;

r. Conduct regional planning and identification of program needs for the development of in-district special education programs;

s. Serve as a liaison to facilitate shared special education services within the county including, but not limited to, direct services, personnel development, and technical assistance;

t. Work with districts to develop in-district special education programs and services including providing training in inclusive education, positive behavior supports, transition to adult life, and parent-professional collaboration;

u. Provide assistance to districts in budgetary planning for resource realignment and reallocation to direct special education resources into the classroom;

v. Report on a regular basis to the commissioner on progress in achieving the goal of increasing the number of special education students educated in appropriate programs with non-disabled students;

w. Render a report to the commissioner annually on or before September 1, in the manner and form prescribed by [him] the commissioner, of [such] matters relating to the schools under [his] the executive county superintendent’s jurisdiction as the commissioner shall require; and

x. Perform [such] any other duties as shall be prescribed by law.

Any budgetary action of the executive county superintendent under this section may be appealed directly to the commissioner, who shall render a decision within 15 days of the receipt of the appeal. If the commissioner fails to issue a decision within 15 days of the filing of an appeal, the budgetary action of the executive county superintendent shall be deemed approved. The commissioner shall by regulation establish a procedure for [such] appeals.

Nothing in this section shall be construed or interpreted to contravene or modify the provisions of the "New Jersey Employer-Employee Relations Act," P.L.1941, c.100 (C.34:13A-1 et seq.), or to limit or restrict the scope of negotiations as provided pursuant to law, or to require an employer to enter into a subcontracting agreement which affects the employment of any employee in a collective bargaining unit represented by a majority representative during the time that an existing collective bargaining agreement with the majority representative is in effect.

Nothing in this section is intended to interfere with a school district's ability to provide a thorough and efficient education.

(cf: P.L.2019, c.169, s.1)

2. (New section) a. Within 12 months of the effective date of P.L. , c. (C. ) (pending before the Legislature as this bill), the executive county superintendent of schools shall establish and submit to the Commissioner of Education a plan to consolidate all districts in the county other than county special services school districts or county vocational school districts. The consolidation plan shall recommend the:

(1) consolidation of any school district which has a resident enrollment of less than 500 students; and

(2) establishment or enlargement of all-purpose regional school districts in the county; or

(3) establishment or enlargement of limited purpose regional school districts in the county.

b. The commissioner shall approve or disapprove the consolidation plan submitted pursuant to subsection a. of this section no later than six months after the date of receipt of the plan.

(1) The commissioner shall provide notice to an executive county superintendent whose plan is disapproved that describes the reasons for the disapproval and provides modifications to the plan. The executive county superintendent shall have 30 days to incorporate the commissioner’s modifications and resubmit the updated consolidation plan.

(2) Upon approval of the consolidation plan by the commissioner, the executive county superintendent shall commission a feasibility study for each proposed all-purpose regional district or limited purpose regional district established or enlarged pursuant to the consolidation plan. The costs of any feasibility study commissioned pursuant to this section shall be borne by the State.

c. The feasibility studies commissioned pursuant to this section shall contain, but not be limited to:

(1) a general description of the proposed regional school district, including the names of the constituent school districts, school buildings and grade levels by school district, and the area of the total proposed regional school district;

(2) the proposed structure of the new district board of education of the proposed regional school district that ensures representation from all constituent communities;

(3) an analysis of administrative staffing, collective bargaining agreements, and compensation guides of the constituent school districts and recommendations and guidance for the proposed regional school district on these issues;

(4) an analysis of each proposed constituent school district's educational program and recommendations and guidance for establishing the educational program of the proposed regional school district;

(5) an analysis of potential opportunities for greater effectiveness and efficiency;

(6) an analysis of socioeconomic and demographic information including, but not limited to:

(a) current and projected enrollment data for the succeeding five school years by location, school, and grade, and for the proposed regional school district as a whole;

(b) enrollment data by location, school, and grade showing the student population's current racial composition and the resulting racial composition for the proposed regional school district as a whole;

(c) enrollment data showing the school food service eligibility status of the student population by location, school, and grade, and for the proposed regional school district as a whole; and

(d) attendance areas by school building and grade, current and projected enrollment of the constituent school districts, and recommended grade configurations and attendance areas for each existing and proposed school building, if applicable, of the proposed regional school district;

(7) a comparison of the estimated State aid and property tax impact for the proposed regional school district and the sum of State aid and property taxes for the constituent school districts;

(8) a comprehensive financial analysis of current and projected spending, local community wealth, debt limit, and current debt burden;

(9) an analysis of potential cost savings or increases from regionalization;

(10) an analysis of student seat time and distance traveled on a school bus, as well as potential increased or reduced transportation costs; and

(11) if any of the constituent members of the proposed regional district would be leaving another regional district or a sending-receiving relationship with a school district which is not a member of the proposed regional district, a comprehensive analysis of the financial and educational condition, and effect on the racial composition, of the school districts which are not a part of the proposed regional district.

d. In order to implement a consolidation plan pursuant to paragraph (1) of subsection e. of this section, the feasibility study shall include assurances that the proposed regionalization:

(1) does not, and is not foreseeably likely to, increase or exacerbate the segregation of students by racial, socioeconomic, disability, or English Language Learner status as determined by the number and percentage of students enrolled in the school districts which are regionalizing or, as applicable, in the school districts from which a school district is withdrawing;

(2) consolidates school districts that are in close geographic proximity of each other. School districts need not be immediately contiguous as long as any geographic separation is not so large as to contradict the potential for improved efficiency and cost savings;

(3) possesses the potential for improved efficiency and cost savings;

(4) possesses the potential to advance an enhanced learning environment for participating districts;

(5) coordinates curriculum across schools and grades throughout the proposed all-purpose or limited purpose regional school district; and

(6) reflects a documented commitment from the participating districts to make good faith efforts to implement the recommendations of the feasibility study that promote efficiency and quality of education.

e. The executive county superintendent shall distribute the feasibility study to each constituent school district in the proposed regional school district. Each district shall have an opportunity to review and comment on the feasibility study prior to the executive county superintendent’s submittal of the feasibility study to the commissioner.

(1) If the feasibility study contains the assurances set forth in subsection d. of this section, then by July 1 of the fifth full school year following the approval, the proposed all-purpose regional district or limited purpose regional district shall be established or enlarged in accordance with the procedures set forth in chapter 13 of Title 18A of the New Jersey Statutes, other than the requirement for voter approval.

(2) If the feasibility study does not contain the assurances set forth in subsection d. of this section, then the commissioner shall determine the appropriate consolidation plan for the districts included in the feasibility study, which plan may include sharing administrative or management services between school districts in the county. An all-purpose or limited purpose regional district proposed pursuant to the revised plan shall be established or enlarged by July 1 of the sixth full school year following the commissioner’s determination in accordance with the procedures set forth in chapter 13 of Title 18A of the New Jersey Statutes, other than the requirement for voter approval.

3. This act shall take effect immediately.

STATEMENT

This bill requires the executive county superintendent of schools to establish and submit to the Commissioner of Education a consolidation plan to combine all school districts in the county, other than county special services school districts or county vocational school districts. The plan is to recommend the:

(1) consolidation of any school district which has a resident enrollment of less than 500 students; and

(2) establishment or enlargement of all-purpose regional school districts in the county; or

(3) establishment or enlargement of limited purpose regional school districts in the county.

The commissioner is required to approve or disapprove the consolidation plan no later than six months after the date of receipt of the plan. If a plan is disapproved, then the commissioner is to provide notice to the executive county superintendent that describes the reasons for the disapproval and provide modifications to the plan. The executive county superintendent is to have 30 days to incorporate the commissioner’s modifications and resubmit the updated consolidation plan.

Once the consolidation plan is approved by the commissioner, the executive county superintendent is to commission a feasibility study for each proposed all-purpose regional district or limited purpose regional district established or enlarged pursuant to the consolidation plan. The costs of any feasibility study commissioned by this bill are to be borne by the State.

The bill includes a list of items that are to be included in the feasibility study. Additionally, the feasibility study is to include assurances that the proposed regionalization:

(1) does not, and is not foreseeably likely to, increase or exacerbate the segregation of students by racial, socioeconomic, disability, or English Language Learner status;

(2) consolidates school districts that are in close geographic proximity of each other;

(3) possesses the potential for improved efficiency and cost savings;

(4) possesses the potential to advance an enhanced learning environment for participating districts;

(5) coordinates curriculum across schools and grades throughout the proposed all-purpose or limited purpose regional school district; and

The bill requires the executive county superintendent to distribute the feasibility study to each constituent school district in the proposed regional school district. Each district is to have an opportunity to review and comment on the feasibility study prior to the executive county superintendent’s submittal of the feasibility study to the commissioner.

If the feasibility study contains the required assurances, then by July 1 of the fifth full school year following the approval, the proposed all-purpose regional district or limited purpose regional district is to be established or enlarged in accordance with current law governing regional school districts as set forth in chapter 13 of Title 18A of the New Jersey Statutes, other than the requirement for voter approval.

The bill further provides that if the feasibility study does not contain the required assurances, then the commissioner is to determine the appropriate consolidation plan for the districts included in the feasibility study, which plan may include sharing administrative or management services between school districts in the county. An all-purpose or limited purpose regional district proposed in the revised plan is be established or enlarged by July 1 of the sixth full school year following the commissioner’s determination in accordance with the procedures set forth in chapter 13 of Title 18A of the New Jersey Statutes, other than the requirement for voter approval.

Additionally, the bill authorizes the executive county superintendent to periodically review shared services arrangements between a school district and another district, a municipality, the county, or other unit of local government within that county for the provision of administrative, business, purchasing, public or nonpublic pupil transportation, or other school district services.