A picture of state aid reduction in Jersey City

I wanted to share a picture of the state aid reductions to Jersey City Public Schools.

State Aid can be confusing because there are various forms of state aid, including:

  • Adjustment aid – this was a one-time bucket of aid that was tied to the initial enactment of SFRA in 2008
  • Equalization aid — this is aid that is pegged to the tax base
  • Other types of “categorical” aid including Security aid, Transportation aid, and Special Education aid

When we talk about the “state aid reductions to Jersey City based on the S2 law,” we are referring to the first two from the items above — “adjustment” aid and “equalization” aid. Using data from previous years’ User Friendly Budgets, as well as the most recent $68 million reduction, we can see the total impact of S2 cuts of adjustment and equalization aid:

 

A second picture that shows the interplay of the state aid reductions shown below, in tandem with the school levy increases, is shown below to help show the more holistic picture of the budget movement over the past years. The orange line below represents total state aid reductions…meaning the orange PLUS the gray lines from the chart above:

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