Revises certain sections of law concerning financing mechanisms for school facilities projects of regular operating districts.

This bill (S 3421) changes how New Jersey school districts (other than those designated for state aid, or SDA districts) can finance school building projects. It revises rules for districts to partner with county improvement authorities: allowing districts to pay more than nominal rent for facilities built by counties, removing restrictions on counties requiring districts to cover some debt costs, and requiring lease payments to fully cover bond debt after state aid. Districts can also issue bonds without voter approval if municipalities agree to pay a portion of property tax-like payments (in lieu of taxes) to cover bond costs, with these bonds now clearly eligible for state debt aid. The changes aim to streamline financing options for school construction while clarifying payment obligations.