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Story perspectives

New Jersey Schools Face Crisis Amid Funding Shortfalls

10/24/2025

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Story summary
  • New Jersey's public school districts face severe funding challenges caused by past laws and deficits.
  • The 2018 S-2 law and the 2020 Chapter 44 did not resolve fiscal issues.
  • A 2% cap on local levies limits revenue while health benefits rise 31.9%.
  • Loss of federal Medicaid funding threatens education budgets.
  • A comprehensive overhaul of the funding formula is needed to prevent a crisis.