Opinion ID: 2294246
Heading Depth: 1
Heading Rank: 24

Heading: Adequacy Budget

Text: Developed from the enhanced resource model created under the FFS, the SFRA formula calculates an Adequacy Budget for each school district in the State. The Adequacy Budget is the wealth-equalized portion of SFRA. D-1 ¶ 39. Wealth equalized aid is based upon the community's wealth and ability to provide funding through local resources. Davy, 1 T 33:14-24; D-12 at 19. As such, a poorer community would receive more State funds and a wealthier community would receive less state funds for this type of aid. Ibid. A district's contribution to its Adequacy Budget is determined by running the Local Fair Share formula, explained below. The Adequacy Budget starts with a base per pupil amount and applies the weights developed by the enhanced PJP model for grade levels and special needs to ensure similar student populations are treated similarly. Loeb, 9 T 19:12-20:9 The Adequacy Budget is composed of four categories of aid: 1) a base aid amount for elementary, middle, and high school students, 2) additional weights for at-risk and LEP students, and vocational districts, [14] 3) two-thirds of the census based costs for special education, and 4) all census-based costs for speech-only special education. D-1 ¶ 39; N.J.S.A. 18A:7F-51. To illustrate how the different categories make up a district's Adequacy Budget, the formula is run for the City of Paterson at each step of the process. See D-83, AB439-440. [15]