Senate Education Chair Pushes for School Consolidation to Cut Costs and Reduce Property Taxes

TRENTON, NJ – Senate Education Chair Vin Gopal, D-Monmouth, is urging the New Jersey legislature to mandate school district consolidation where it would save property taxpayers money by eliminating unnecessary duplication of services and other assets. Gopal believes that merging school districts and sharing services is key to reducing the burden on taxpayers while maintaining high-quality public education.

“We’ve seen the positive impact that eliminating duplication through regionalization and shared services can have on reining in property taxes, but relatively few districts have moved to merge with their neighbors, and costs remain too high,” Gopal said. “We just can’t afford to continue operating 600 individual school districts anymore.”

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The push for consolidation comes as New Jersey faces a significant financial challenge with school funding. Nearly $11.7 billion of the state’s $56.7 billion budget is allocated to school funding, the largest expense in the state’s 2025 fiscal year. The impact on local taxpayers is evident, with 53 percent of the $32.2 billion collected in property taxes in 2022 going to schools, according to the Department of Community Affairs.

“It’s time to consider mandating school consolidation to reduce overall operating costs and shared services to reduce administrative costs, as well as those for professional services, like attorneys and engineers,” Gopal said. “We can preserve the high-quality public education New Jersey school districts offer and reduce the cost to taxpayers by consolidating school districts and through shared service agreements.”

As Senate Education Committee chair, Gopal is calling for a bipartisan examination of requiring school districts that can save money through consolidation to merge or enter into shared service agreements. The state has previously tried to incentivize school district mergers, especially those facing declining enrollment and rising costs, including grants for regionalization studies. However, few districts have taken steps toward merging.

“Any effort to mandate consolidation must include a lot of local input, and the Senate Education Committee will engage local educators, municipal governments, and parents in the conversation,” Gopal emphasized.

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Gopal acknowledges that any move to mandate consolidation will face resistance, especially given New Jersey’s tradition of strong home rule. Nonetheless, he is committed to working across party lines to draft legislation that maintains the state's educational quality, supports teachers, and addresses rising property taxes through consolidation and shared services. He expects to have a bill drafted by October or November after gathering input on reworking the state’s school funding formula later this month.

“As enrollment continues to decline statewide, the cost of maintaining certain districts will become increasingly inefficient, if not unsustainable,” Gopal said. “We also know that rising property taxes are forcing some residents, especially seniors, out of their lifelong homes and, in some cases, out of our state.”

Gopal highlighted that New Jersey ranks second only to Massachusetts in academic performance and student-to-teacher ratios, with over 55 percent of New Jersey high schools surpassing the national average for SAT scores. He assured that consolidation would not compromise educational quality.

“We will not compromise on the quality of the public education we provide to New Jersey children,” Gopal stated. “We believe that we can maintain the highest standards in education and still address the cost. Consolidation and sharing services are the best approaches to accomplishing academic excellence and affordability.

“This is the start of a conversation that desperately needs to happen in New Jersey,” he added.

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