LEGISLATIVE FISCAL ESTIMATE

[First Reprint]

ASSEMBLY, No. 5720

STATE OF NEW JERSEY

221st LEGISLATURE

 

DATED: DECEMBER 26, 2025

 

 

SUMMARY

 

Synopsis:

Requires key boxes at public school buildings with certain exceptions; appropriations $2.5 million for reimbursement of costs related to key box installation.

Type of Impact:

One-time State expenditure increase; one-time school district, charter school, and renaissance school project revenue and expenditure increase.

Agencies Affected:

Department of Education; school districts, charter schools, and renaissance school projects.

 

 

Office of Legislative Services Estimate

One-Time Fiscal Impact

 

 

State Expenditure Increase

Up to $2.5 million

 

School District Revenue Increase

Up to $2.5 million

 

School District Expenditure Increase

Up to $2.5 million

 

 

·       The Office of Legislative Services (OLS) finds that school districts, charter schools, and renaissance school projects will collectively incur one-time costs of up to $2.5 million to provide for the key boxes required by the bill.

·       The Department of Education will experience a one-time expenditure increase of up to $2.5 million to provide reimbursements for the costs of installing the required key boxes at each public school, charter school, and renaissance school project in the State. These public schools are required to install the key boxes by June 30, 2027. The reimbursement would constitute a one-time revenue increase for the schools.

·       Schools may be exempt from revenue and expenditure increases to the extent that a school district, charter school, or renaissance school project applies for a waiver from the Department of Education due to implementation of an alternative plan or procedure that meets the requirements of the bill or the previous installation of a pre-existing key box that meets the standards specified in the bill.

BILL DESCRIPTION

 

      This bill requires the board of education of each school district and board of trustees of each charter school or renaissance school project to provide for the installation of at least one exterior key box meeting certain standards at each school building no later than June 30, 2027.

      Each key box would contain keys and other access control devices necessary to access each building and room located on the school grounds. The school district, charter school, or renaissance school project would be required to install the key boxes at appropriate locations for permitting emergency responders to access the building or demonstrate that the district has implemented an alternative plan and procedures that are equivalent to or exceed the requirements of the bill.

      The bill also permits the board of education of a school district and board of trustees of a charter school or renaissance school project to be exempt from the bill’s requirement to install a key box if the board has implemented certain alternative plans and procedures that meet standards prescribed by the bill.  A board would be granted an exemption after application and approval by the Department of Education. 

      Additionally, the bill provides that costs incurred by the board of education of a school district and the board of trustees of a charter school or renaissance school project for the installation of a new key box or replacement of an existing key box necessary for compliance with the bill would be borne by the State. School districts, charter schools, and renaissance school projects would apply to the Department of Education for reimbursement.

      Finally, the bill includes a $2.5 million appropriation to the department to reimburse school districts, charter schools, and renaissance school projects for the costs incurred for compliance with the requirements of the bill.

 

 

FISCAL ANALYSIS

 

EXECUTIVE BRANCH

 

      None received.

 

OFFICE OF LEGISLATIVE SERVICES

 

      The OLS finds that school districts, charter schools, and renaissance school projects will collectively incur one-time costs of up to $2.5 million to provide for the key boxes required by the bill. The Department of Education will experience a one-time expenditure increase of up to $2.5 million to provide reimbursements for the costs of installing these key boxes at each public school, charter school, and renaissance school project in the State. All schools are required to install the key boxes by June 30, 2027. The State reimbursement would constitute a one-time revenue increase for the schools.

      For the purposes of illustration, the OLS notes that one company that sells key boxes lists three separate models that meet Underwriters Laboratories Standard 1037 as required by the bill. The models retail for between roughly $500 and $1,500 per unit. According to the Department of Education’s Public Schools Fact Sheet for the 2024-2025 school year, there were 2,506 schools in the State. Consequently, the $2.5 million appropriation included in the bill would be sufficient to reimburse school districts for average expenditures of about $998 per school, assuming all school districts, charter schools, and renaissance school projects will have to newly purchase key boxes meeting the specified standard.

      The OLS notes that actual reimbursements to school districts, charter schools, and renaissance school projects could be lower than the amount appropriated under the bill, to the extent that schools apply to the department for a waiver due to implementation of alternative plans or procedures or the pre-existence of a key box that meets the requirements of the bill.

 

 

Section:

Education

Analyst:

Abigail Chambers

Senior Fiscal Analyst

Approved:

Thomas Koenig

Legislative Budget and Finance Officer

 

 

This legislative fiscal estimate has been produced by the Office of Legislative Services due to the failure of the Executive Branch to respond to our request for a fiscal note.

 

This fiscal estimate has been prepared pursuant to P.L.1980, c.67 (C.52:13B-6 et seq.).