N.J. Admin. Code § 6A:23A-17.4

Current through Register Vol. 56, No. 18, September 16, 2024

Section 6A:23A-17.4 - Method of determining tuition rates for county vocational school districts

(a) The term "actual cost per student" for determining the tuition rate or rates for a given year referred to in N.J.S.A. 18A:46-21 and 18A:54-20.1 means the adjusted net cost per student in average daily enrollment, based upon audited expenditures for that year for the purpose for which the tuition rate is being determined.

1. The CVSD board of education shall determine tuition rates for each applicable program category consistent with N.J.A.C. 6A:23A-17.3(a)3.

2. "Average daily enrollment" for the purpose of determining the "actual cost per student" means the sum of the days present and absent of all students enrolled during the year in the register or registers of the program for which the rate is being determined, divided by the number of days school was actually in session, but in no event shall the divisor for the regular school year programs be less than 180 days.

3. The CVSD board of education shall adjust the "actual cost per student" for all tuition categories to reflect net costs plus a reasonable surplus.

(b) Each CVSD board of education will receive from the Commissioner certification of the "actual cost per student" for each tuition category for a given year utilizing the following:

1. Revenues, expenditures, and fund balances reflected in the CVSD's annual independent audit; and

2. Average daily enrollment data by category submitted by the CVSD on a form prescribed by the Commissioner.

(c) The maximum tuition rate per pupil for each education program shall be sufficient to enable the CVSD to cover the net cost of said program.

(d) The maximum tuition rate per pupil for each education program for sending public school districts shall be based on the net cost calculated by reducing the amount of general fund expenditures by the following:

1. State aid received pursuant to N.J.S.A. 18A:7F-43 et seq. and other sources of State aid, except for restricted State grants;

2. All other revenue sources other than tuition (such as the county contribution, nonresident fees, Medicaid reimbursements, and miscellaneous revenue) available to fund the education program for sending school districts;

3. All direct and indirect expenditures that are not associated with the education program for sending public school districts such as post-secondary vocational-technical programs;

4. All expenditures associated with each education program for sending public school districts but that are funded through sources other than the tuition rate such as extraordinary special education costs, which are separately reimbursed for individual students;

5. Expenditures for Teachers' Pension and Annuity Fund (TPAF) pension and social security; and

6. Refunds of prior-year tuition adjustments made to sending public school districts.

(e) The Commissioner shall develop and disseminate workpapers for the purpose of allocating revenue, other fund sources, and expenditures amongst the various programs and services within the general fund.

1. With the exception of the regular vocational-technical education program, the actual programs and/or services will vary by individual CVSD.

2. The purpose of this allocation shall be to isolate the revenue, other fund sources, and expenditures related to the tuition for each regular and special vocational-technical education program by segregating programs and services that are not related to those programs, or are related but funded through sources other than tuition.

3. Expenditures shall be allocated on a direct and indirect basis amongst the various general fund programs and services when funded through sources other than tuition, such as extraordinary special education services.

i. Direct instructional expenditures for salaries and related benefits, textbooks, teaching supplies, purchased services, equipment, and other expenses for each program or learning disability program category, as applicable, shall be allocated on an actual basis.

ii. When allocating indirect expenditures amongst major programs, such as regular vocational-technical education, special vocational-technical education, post-secondary vocational-technical education, and other programs, indirect expenditures, except expenditures for Teachers' Pension and Annuity Fund (TPAF) pension and social security, shall be allocated amongst the various programs based on the percent of direct expenditures in each program to the total of all direct expenditures since there is no common average daily enrollment (ADE) equivalent among all programs.

iii. Services provided as part of a program, such as extraordinary special education services, shall not bear part of the indirect expenditures but shall include only direct instruction and support services expenditures.

iv. When allocating indirect expenditures between the learning disability program categories of the regular school year and the extended school year, indirect expenditures, except expenditures for Teachers' Pension and Annuity Fund (TPAF) pension and social security, shall be allocated in proportion to the average daily enrollment.

(f) The CVSD board of education shall adjust, as appropriate, its net cost determined for each tuition category in (d) above to include in the certified maximum tuition rate for each category an amount that will permit the CVSD board of education to maintain at its discretion for the year the tuition rate applies an ending general fund unassigned balance not to exceed the amount permitted pursuant to N.J.S.A. 18A:7F-7.

1. If the CVSD board of education's general fund budget for the prebudget year is $ 100 million or less and the ending general fund free balance is less than the greater of six percent of its general fund budget or $ 250,000 for the year the tuition rate applies, the CVSD board of education shall allocate the difference amongst the tuition categories in proportion to the average daily enrollment for each category. If the amount of the general fund budget for the prebudget year exceeds $ 100 million, and the undesignated general fund balance is less than the sum of six percent of the first $ 100 million and three percent of the amount which exceeds $ 100 million, the CVSD board of education shall allocate the difference amongst the tuition categories in proportion to the average daily enrollment for each category.

2. If the CVSD board of education's general fund budget for the prebudget year is $ 100 million or less and the ending general fund free balance is equal to or greater than the greater of $ 250,000 or six percent of its general fund budget for the year the tuition rate applies, the CVSD board of education shall not add an amount to the net cost of any tuition category. If the amount of the general fund budget for the prebudget year exceeds $ 100 million, and the undesignated general fund balance is in excess of the sum of six percent of the first $ 100 million and three percent of the amount that exceeds $ 100 million, the CVSD board of education shall not add an amount to the net cost of any tuition category.

(g) The CVSD board of education shall determine the tuition for each program category at the same rate per student for each sending district board of education whether within or outside the county pursuant to N.J.S.A. 18A:54-20.1.

(h) Calculation of tentative tuition rates, execution of written contractual agreements, payment of tuition (including the nonresident fee), and adjustments to tentative tuition charges upon certification of actual tuition rates by the Commissioner shall be made by the CVSD board of education in accordance with N.J.A.C. 6A:23A-17.1(e) except that the CVSD board of education shall base the tentative tuition rates on its estimated adjusted net cost per student consistent with the calculation in (d) through (f) above.

(i) The CVSD board of education shall use the "actual cost per student" certification forms, contract forms, and tentative tuition rate forms as prepared and provided by the Commissioner.

N.J. Admin. Code § 6A:23A-17.4

Amended by 49 N.J.R. 1079(a), effective 5/1/2017