Establishes State aid reduction cap of one percent for calculation of State school aid.

This bill establishes a one percent annual cap on reductions to state school aid for all New Jersey public school districts. It ensures no district receives state aid in any school year that is reduced by more than one percent compared to the prior year's disbursement. The cap applies universally, overriding previous reduction schedules that allowed larger cuts for districts with negative aid differentials. School districts affected include all public school districts receiving state aid under current funding formulas, regardless of their financial status or location. This policy change directly limits annual funding cuts rather than increasing overall funding.