TRENTON, N.J. — Assembly Republican Budget Officer Nancy Munoz is criticizing Gov. Phil Murphy’s school funding plan, claiming it shortchanges districts by $83 million while student performance continues to decline.
The Murphy administration has capped fiscal year 2026 school funding increases at 6% and limited cuts to 3%, a move Munoz argues will shift financial burdens onto property taxpayers. “To be clear, Murphy is shortchanging school districts by $83 million at a time when the state’s average property tax bill is more than 10 grand, and test scores are slipping,” Munoz (R-Union) said.
According to the state Department of Education, 133 districts are set to receive the maximum 3% funding cut, while 209 districts are capped at a 6% increase. Munoz contends that school districts will have to raise property taxes to make up for lost funding. “His tax hikes and other changes are going after the people that need the most help, not the millionaires,” she added.
Murphy has proposed changes to the school funding formula, including calculating local fair share using a three-year average of property values and basing special education aid on attendance rather than a census count. He also introduced a provision allowing some districts flexibility in tax levy growth limitations.
Munoz warned that while Murphy’s budget appears to boost K-12 education aid by $386 million, the funding cap still results in a shortfall. “The devil is in the details of Murphy’s budget,” she said. “He is also including a way to skirt the 2% property tax increase cap, which has been the only measure that has held down insane year-over-year increases.”
More than 180 of the state’s 580 school districts are facing funding cuts or flat funding for the upcoming school year. Munoz also pointed to declining student performance, citing the Nation’s Report Card, which shows New Jersey’s fourth-grade English and eighth-grade math scores have dropped since 2018.
Munoz called for a return to “fairly funding schools” and supporting student achievement while criticizing Murphy’s education policies.
