Yesterday we learned that due to updated information on poor income tax revenue collections and to the State’s need to present a balance budget by June 30 of this year, the State of New Jersey will DELAY districts' next-to-last state aid payments. (They say it won't be cut, just delayed.) Statewide, this delay totals $380 million.
According to this, then, both our last and next-to-last state aid payments will be reimbursed in early July at the same time.
I'm not sure I understand what the delay actually does for the state -- it's not like they're suddenly going to receive more income tax payments, are they? And if they push these payments into the next fiscal year, doesn't that screw up next year's budget?
In the meantime, districts like Ridgewood will have to adjust our cash flow accordingly. There's no word yet on what this will mean for us specifically, but it can't be good.
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