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A 4860

"Fairness for School Districts in Development Restricted Areas Act"; provides additional State school aid to certain school districts located in municipalities that are part of Highlands or Pinelands preservation areas.

2026-2027 Regular Session Introduced by Brian Bergen and 8 co-sponsors

Provides extra state aid to qualifying districts in Highlands/Pinelands towns, $250 per preserved acre, with annual enrollment-based caps.

Introduced, Referred to Assembly Education Committee
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Bill Summary · A 4860

Summary of Bill A 4860 (Session 222) — Fairness for School Districts in Development Restricted Areas Act (New Jersey)

Purpose and intent

  • Provide additional State aid to certain school districts located in municipalities that are part of Highlands preservation areas or Pinelands preservation areas.
  • Address revenue constraints caused by development restrictions under Highlands and Pinelands protections, which have reduced local property tax capacity and post-S2 (State aid reductions) funding opportunities for affected districts.

Key definitions and who qualifies

  • A “qualifying school district” must meet all three criteria:
    1) Experienced a net loss in State school aid in the 2024-2025 school year compared to the 2017-2018 school year under P.L.2018, c.67 (S2 adjustments).
    2) Have resident enrollment greater than 500 students.
    3) Be located wholly in a municipality where at least 25% of the total municipal acreage lies within either:

    • Highlands preservation area (per Highlands Act) or
    • Pinelands preservation area (per Pinelands Act).

  • Excludes regional school districts, with a specific exception: all-purpose regional school districts in which one or more constituent districts is wholly located in a qualifying municipality (with the 25% acreage threshold).

What the bill provides (aid provisions)

  • In addition to existing State school aid, qualifying districts would receive an extra allocation of State aid under this act.
  • Calculation of the additional aid:
    • Amount equals $250 multiplied by the number of acres in the municipality that are within the Highlands preservation area or the Pinelands preservation area.
  • Caps (per district, based on student enrollment):
    • If resident enrollment > 500 and < 1,000: maximum additional aid is $2,500,000 per school year.
    • If resident enrollment > 1,000: maximum additional aid is $5,000,000 per school year.
    • No explicit cap stated for districts with enrollment exactly 500 or below (though the definition requires >500).
  • The bill clarifies that this is in addition to any aid provided under current law (P.L.2007, c.260).

Effective date and timing

  • Effective immediately upon enactment.
  • Applies to the first full school year after the date of enactment.

Potential impact and considerations

  • Targets districts most affected by development restrictions in Highlands/Pinelands areas, particularly those that lost S2 aid and rely on local revenue that cannot be expanded due to land-use constraints.
  • Provides a location-based, formulaic approach to additional aid, tying the amount to: (a) the extent of preservation-area land within the municipality and (b) the district’s enrollment size, with explicit annual caps.
  • Aims to stabilize or improve funding for affected districts without broad, cross-district increases in State aid.
  • Could influence how districts leverage preservation-area land assets in budgeting, and may interact with other state aid programs and property tax considerations.

Administrative and fiscal notes (implicit)

  • Requires mapping of acreage within Highlands and Pinelands areas by municipality to compute aid.
  • Annual cap structure suggests a predictable, time-bound fiscal impact for the state; districts with large preservation-area land may receive substantial aid subject to enrollment caps.
  • No explicit sunset provision; the act becomes part of ongoing State aid policy, subject to annual appropriation and potential future amendments.

Summary

Bill A 4860 seeks to provide targeted additional State school aid to qualifying districts located in Highlands or Pinelands municipalities that have seen S2 aid losses and maintain enrollments over 500 students. The aid is amount-based on preservation-area acreage within the municipality ($250 per acre) with per-year caps tied to enrollment size, and it supplements existing State aid provisions. The measure takes effect for the first full school year after enactment.

Compiled from official sources — confirm details with the bill’s official record.

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