The New Jersey Department of Community Affairs (DCA) announced that its Division of Local Government Services (DLGS) is now accepting applications for the School Regionalization Efficiency Program (SREP) grants. These grants are available to eligible public school districts and government entities to fund feasibility studies on merging school districts, including the creation of regional or countywide districts, with the aim of identifying cost savings or other efficiencies and benefits for students and taxpayers.
“Interest in regionalizing school resources and programs has been held back by the costs involved,” said DCA Commissioner Jacquelyn A. Suárez. “Now the School Regionalization Efficiency Program grants remove this cost barrier so school communities can analyze whether regionalization is right for them. We invite local school officials to take advantage of this opportunity while it is available.”
“Many school districts across New Jersey want to explore ways of regionalization that would provide students with greater academic opportunities and identify ways to reduce costs,” said Acting Commissioner of Education Kevin Dehmer. “The School Regionalization Efficiency Program is a means that can help communities explore these options. Through successful regionalization, communities can achieve real savings and greater efficiencies that benefit taxpayers, while schools can expand and strengthen the educational offerings available to their students.”
Eligible applicants include boards of education from local, already consolidated, or non-operating school districts; limited purpose boards; multi-purpose regional districts; as well as governing bodies from municipalities associated with consolidated or regional districts without their own board of education.
Funding supports projects involving primary and secondary education district consolidation studies in three main categories: significant and applicable plans for improved learning environments; curriculum coordination throughout proposed consolidations; and demonstrable potential for efficiency improvements and cost savings.
Feasibility studies funded by SREP must also address issues such as not increasing segregation based on race, socioeconomic status, disability, or English language learner status among students seeking consolidation. Other factors reviewed include enrollment numbers, facility use, low-enrollment neighboring districts, existing student transfer relationships, administrative staffing needs, classroom sizes, diversity improvement efforts, debt obligations, teacher requirements and layoffs.
Grant awards may cover up to 100 percent of study costs depending on application quality and outcomes. After completing a study, participating districts are encouraged—but not required—to proceed with shared service agreements.
Applications are accepted on a rolling basis through the DCA’s System for Administering Grants Electronically (SAGE) portal at https://dcasage.intelligrants.com/portal.asp. Officials are advised to apply early due to funding availability tied to the state budget allocation for fiscal year 2026. More information about guidelines and applications is posted at https://www.nj.gov/dca/dlgs/programs/srep_grants.shtml.
The DLGS’s mission includes supporting local governments through technical and financial assistance related to budgets, financial reporting, joint services procurement management. The division oversees financial integrity for all local government units across New Jersey.
For broader details about DCA programs—ranging from affordable housing production to disaster recovery—visit https://nj.gov/dca/.
