Senator Declan O’Scanlon of New Jersey said on April 13 that the Murphy administration’s failure to reform the state’s school funding formula represents a significant policy misstep. The statement addresses ongoing budget pressures faced by New Jersey school districts, including staff reductions and program changes under the current state funding structure.
O’Scanlon made his remarks in response to reports of potential staff layoffs, course consolidations, and larger class sizes at the West Orange Board of Education. He also discussed how state school funding decisions are affecting communities across New Jersey, according to a social media post by O’Scanlon.
“One of the greatest acts of policy misfeasance in New Jersey history is the Murphy administration’s failure to reform the school funding formula. By fully funding what was already an outdated, unsustainable, ill-advised, and unfair formula, we missed an opportunity to reform it in a fair and relatively straightforward way. A massive $4 billion allotment of additional funds, with simple and relatively painless adjustments, could have made a tremendous difference for both children and taxpayers. It was a tremendous opportunity, tragically squandered,” O’Scanlon said.
New Jersey has the highest property taxes per capita in the United States while ranking third nationally in per-pupil education spending, according to a Garden State Initiative analysis. The current School Funding Reform Act formula often creates unpredictable burdens for local taxpayers and funding disparities between districts with similar student needs. Many middle-income districts struggle under unrealistic Local Fair Share requirements that exceed the state’s 2% property tax cap.
The Garden State Initiative report argues that New Jersey’s school funding formula lacks transparency and requires reform to reduce volatility for taxpayers. Despite historic levels of state aid, the formula has not kept pace with changing demographics and economic realities, leading to continued pressure on local budgets. Reform proposals focus on simplifying calculations and better aligning aid distribution with actual student needs across the state.
O’Scanlon has served as a Republican senator representing New Jersey’s 13th District since 2018 and currently serves as Senate Republican Budget Officer. He is a small business owner from Red Bank who has focused throughout his legislative career on fiscal responsibility, government efficiency, and reforming state spending priorities.
