Board of Education of the Borough of Bloomsbury, Hunterdon County v. Board of Education of the Town of Phillipsburg, Warren County, 12/5/2024, (#440-24)

440-24
Agency Dkt. No. 38-2/23
New Jersey Commissioner of Education
Final Decision
Board 	of 	Education 	of 	the 	Borough 	of
Bloomsbury, Hunterdon County,
Petitioner,
v.
Board of Education of the Town of Phillipsburg,
Warren County,
Respondent.
In this matter, petitioner Bloomsbury Board of Education (Bloomsbury) filed a petition
seeking a severance of its sending-receiving relationship with respondent Phillipsburg Board of
Education (Phillipsburg), which provides for Bloomsbury’s high school students to be educated
at Phillipsburg High School. Bloomsbury proposes to enter a sending-receiving relationship with
the North Hunterdon-Voorhees Regional High School District Board of Education (North
Hunterdon-Voorhees) to send its high school students to North Hunterdon High School.
After the matter was transmitted to the Office of Administrative Law as a contested case,
Phillipsburg withdrew its opposition to the request for severance of the sending-receiving
relationship and the formation of a new sending-receiving relationship with North Hunterdon-
Voorhees. Accordingly, the file was returned to the Commissioner so that it could proceed as an
uncontested case, in compliance with the procedural requirements set forth in N.J.A.C. 6A:3-6.1.
The Legislature has bestowed upon school districts lacking high school facilities of their
own, such as Bloomsbury, the power to decide how and where their students should be

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educated. 	Bd. of Educ. of Ho-Ho-Kus v. Bd. of Educ. of Midland Park, 96 N.J.A.R.2d(EDU) 964
(1996). To that end, N.J.S.A. 18A:38-11 permits the affected board of education to designate a
high school or high schools for its pupils to attend on a tuition basis. 	Once a sending district
makes the decision to educate its students in another district, it must obtain approval from the
Commissioner 	to 	terminate 	or 	otherwise 	modify 	the 	sending-receiving 	relationship.
N.J.S.A. 18A:38-11.
The 	modification 	of 	an 	existing 	sending-receiving 	relationship 	is 	governed 	by
N.J.S.A. 18A:38-13, which provides, in pertinent part:
The commissioner shall make equitable determinations based
upon 	consideration 	of 	all 	the 	circumstances, 	including 	the
educational and financial implications for the affected districts, the
impact on the quality of education received by pupils, and the
effect on the racial composition of the pupil population of the
districts. The commissioner shall grant the requested change in
designation or allocation if no substantial negative impact will
result therefrom.
Thus, in ruling on an application for modification, the Commissioner must evaluate
whether granting the requested modification will have a “substantial negative impact” upon
1) the quality of education, 2) the financial condition, or 3) the racial composition of the pupil
populations of the districts involved. If, upon consideration of all the circumstances, no
substantial negative impact is found, the application must be granted. Bd. of Educ. of Englewood
Cliffs v. Bd. of Educ. of Englewood, 257 N.J. Super. 413, 459 (App. Div. 1992), aff’d, 132 N.J. 327
(1993).
Bloomsbury obtained a feasibility study in October 2022 and a supplemental expert
report in November 2023 to thoroughly address the requisite statutory criteria. 	The detailed
reports include analysis of the involved districts’ demographics, historical enrollment trends,

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projected future enrollment, enrollment by race, curricula, course offerings, educational
programs, facilities, building capacity, student outcomes, budgets, state aid, tax implications,
debt, tuition rates, and more. Citing the feasibility study, expert report, and relevant case law,
Bloomsbury contends that severance of the sending-receiving relationship with Phillipsburg will
not cause a substantial negative impact on the quality of education, the financial condition, or
the racial composition of the districts involved.
The 	Commissioner 	received 	numerous 	public 	comments 	regarding 	the 	proposed
severance from parents, educators, Bloomsbury Board of Education members, and others from
the community. 	Twenty commenters strongly support the proposed severance for similar
reasons, including that North Hunterdon-Voorhees offers an expanded range of quality
educational opportunities, three rigorous Academy programs where students can earn college
credit, and a new Polytech facility opening in September 2025. 	They emphasize that, when
compared to Phillipsburg, North Hunterdon-Voorhees students have a superior four-year
graduation rate, higher SAT/ACT scores, increased enrollment in AP and IB courses, and more
individualized placement opportunities for special education students.
As a practical matter, the commenters in support of the severance note that Bloomsbury
students will attend high school in the same county where they attend elementary school, and
where they often participate in sports and other extracurricular activities. 	Additionally, they
explain that because Bloomsbury is a small community of approximately 800 residents with just
one school for grades K-8, Bloomsbury students can feel lost at Phillipsburg High School (one of
the largest in New Jersey) because most Phillipsburg students already know each other. They
feel that attending North Hunterdon-Voorhees would be advantageous because, as a regional

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school district, it has a proven record of integrating a diverse group of students from 12 small
towns and creates a more inclusive and supportive environment for incoming students.
The commenters in support of the severance also express that Bloomsbury would achieve
immediate cost savings in tuition because North Hunterdon-Voorhees has agreed to a reduced
tuition rate for four years. They believe this will ease the financial burden on taxpayers while
increasing property values. Furthermore, they note that North Hunterdon-Voorhees is amenable
to exploring regionalization if the petition is granted, which would afford Bloomsbury even
greater financial stability. 	Currently, Phillipsburg’s unpredictable tuition increases force
reductions in Bloomsbury’s K-8 school budget and have even resulted in consolidation of certain
grade levels at their elementary school.
While none of the commenters expressly opposed the severance, one commenter is
disappointed that Bloomsbury students might not attend Phillipsburg High School in the future.
Her children currently attend Bloomsbury Elementary School via the Interdistrict Public School
Choice Program (Choice Program). As a resident of Phillipsburg, she intends to have her children
attend Phillipsburg High School. If the severance is granted, then her children will be separated
from their peers. 	However, 	she 	would 	be less 	apprehensive 	about the 	severance 	if
North Hunterdon-Voorhees would consider accepting similarly situated students via the Choice
Program so that all children educated at Bloomsbury Elementary School can remain with their
peers during high school.
Upon a comprehensive review of the record in this matter including the public comments,
the feasibility study, expert report, and the parties’ submissions, the Commissioner agrees that
severance of the sending-receiving relationship will not have a substantial negative impact on

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the quality of education, the financial condition, or the racial composition in Bloomsbury,
Phillipsburg, or North Hunterdon-Voorhees. Of note, Phillipsburg has decided not to challenge
the severance, and North Hunterdon-Voorhees fully supports the creation of a new sending-
receiving relationship with Bloomsbury.
Regarding the quality of education in the districts, Phillipsburg will not suffer a substantial
negative educational impact. Bloomsbury’s approximately 28 students who attend Phillipsburg
each year represent 1.6% of Phillipsburg High School’s student population, or 7 students per
grade from graduating classes of over 400 students each.1 	Thus, the removal of Bloombsury
students from Phillipsburg High School will have little to no impact on course offerings, sports, or
other extracurricular programs offered to Phillipsburg students. 	Moreover, the addition of
Bloomsbury 	students 	will 	not 	result 	in 	a 	substantial 	negative 	educational 	impact 	to
North Hunterdon High School. Because the number of Bloomsbury students is so small when
compared to the average total student population of over 1400 students, the impact on class size
will be minimal, and it is unlikely that North Hunterdon-Voorhees will need to hire additional
staff.2 	Finally, Bloomsbury students will benefit from the additional quality educational
opportunities available in North Hunterdon-Voorhees.
Regarding the financial impact to the districts, Phillipsburg’s lost tuition revenue is small
1 Between the 2017-18 and 2022-2023 school years, Bloomsbury sent an average of 21.67 white students
and 6.67 non-white students (28.33 students in total) to Phillipsburg High School each year, comprising
1.7% of the average total student body of 1721.
2 Between the 2017-2018 and 2022-2023 school years, North Hunterdon High School had an average
student population of 1406.
when compared to the size of its annual budget and annual tax levy. Specifically, Phillipsburg’s

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lost tuition revenue of approximately $79,000 annually during the four-year phase-out of
Bloomsbury students represents only 0.6% of Phillipsburg’s $12.7 million tax levy and 0.08% of
Phillipsburg’s annual budget of $100 million. 	Thus, while some negative financial impact will
occur if the severance is granted, it will not be substantial. 	As for the financial impact on
Bloomsbury, any additional tuition costs will not result in a substantial negative impact.
Moreover, the parties have agreed upon a reduced tuition rate for four years—which is less than
Phillipsburg’s tuition rate and will result in a cost savings of approximately $1800 per student for
Bloomsbury during that time period. Finally, North Hunterdon-Voorhees will benefit financially
upon receiving tuition revenue for Bloomsbury students.
Regarding the impact upon the districts’ racial composition, Bloomsbury Elementary
School, Phillipsburg High School, and North Hunterdon High School are all majority-white schools.
The number of white students has declined at both high schools within the past six years.3 In
2017-2018, 1059 of 1619 students enrolled at Phillipsburg High School, or about 65%, were white.
By 2022-2023, the number of white students decreased to 921 of 1775 students, or about 52%.
As for North Hunterdon High School, in 2017-2018, 1376 of 1608 students enrolled, or about
86%, were white. 	By 2022-2023, the number of white students decreased to 979 of 1217
students, or about 80%.
On average, between 2017-2018 and 2022-2023, Bloomsbury sent 22 white students and
3 This decline is consistent with the changing demographics in the areas served by each school district.
4 The Commissioner notes that these figures, and the percentages that follow in this paragraph and the
next, are different than those presented in Bloomsbury’s submissions due to the manner in which
Bloomsbury rounded average figures. For purposes of clarity, the Commissioner has used only whole
numbers of students in the portion of this decision addressing racial impact, and the percentages have
7 non-white students 4 (75.86% white, 24.14% non-white) to Phillipsburg. 	Comparatively,

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Phillipsburg had an average student population of 1721, with 1021 white students and 700 non-
white students (59.33% white, 40.67% non-white). 	Using these figures, the removal of
Bloomsbury students from Phillipsburg High School would result in an average increase in
Phillipsburg’s non-white population from 40.67% to 40.96%, a difference of 0.29%.5 This is not a
substantial change, and because students will be removed one grade at a time, the year-to-year
impact will be reduced. From a statistical perspective, the removal of so few students from such
a large student population will not have a substantial negative impact on the racial composition
of Phillipsburg High School. Phillipsburg High School students will continue to be educated in a
diverse environment.
Similarly, the enrollment of Bloomsbury students at North Hunterdon High School will not
have a substantial negative impact on the school’s racial composition. Between 2017-2018 and
2022-2023, North Hunterdon had an average student population of 1406, with 1167 white
students and 239 non-white students (83.00% white, 17.00% non-white). Using these figures,
the addition of Bloomsbury students would result in an average increase in North Hunterdon’s
non-white population from 17.00% to 17.14%, a difference of 0.14%.6 This is not a substantial
been recalculated accordingly; the very slight differences in percentages are not consequential to the
analysis.
5 This calculation reflects a total student population of 1692 (1721 minus 29) and a non-white population
of 693 (700 minus 7).
6 This calculation reflects a total student population of 1435 (1406 plus 29) and a non-white population of
246 (239 plus 7).
change. 	From a statistical perspective, the addition of so few students to a large student
population 	will 	not 	have 	a 	substantial 	negative 	impact 	on 	the 	racial 	composition 	of

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North Hunterdon High School. 	North Hunterdon High School students will continue to be
educated in a diverse environment.
That said, statistical changes alone are not dispositive of whether a significant negative
impact will result from severance. 	The Commissioner must analyze the significance of those
statistical changes in light of all relevant circumstances, mindful that “there is no substitute for
the educational benefits afforded by the opportunities for interaction both in and out of the
classroom where the student population is diverse.” Bd. of Educ. of Merchantville v. Bd. of Educ.
of Pennsauken, State Bd. of Educ. Decision at 7, 15 (Jan. 7, 1998). 	Thus, the impact of the
severance upon Bloomsbury students—who will, if the severance is granted, attend a high school
with a student population that is not as diverse as that of Phillipsburg High School—must be
considered.
For instance, in Merchantville, the State Board rejected Merchantville’s request to
terminate its sending-receiving relationship with Pennsauken and to establish a new relationship
with Haddonfield “where the statistical change in the racial composition of the current receiver”
was not significant, but Pennsauken was diverse, Haddonfield was “almost exclusively white,”
and Merchantville was “predominantly white.” Id. at 2, 14-15. The State Board concluded that
severance in favor of a new sending-receiving relationship with Haddonfield would cause a
“substantial negative impact” by depriving Merchantville students of “the educational benefits
afforded by the opportunities for interaction both in and out of the classroom where the student
population is diverse.” Id. at 15.
However, in Board of Education of the Township of Winfield v. Board of Education of the
City of Rahway, the Commissioner granted Winfield’s request to terminate its sending-receiving

9
relationship with Rahway and to enter a new sending-receiving relationship with Kenilworth even
though Kenilworth’s high school was somewhat less diverse than Rahway’s high school.
Bd. of Educ. of Winfield v. Bd. of Educ. of Rahway, OAL Dkt. No. EDU 7138-98, Initial Decision
(Jan. 18, 2000), adopted, Commissioner Decision No. 7600 (March 2, 2000). At the time, Winfield
was a predominantly white community with about 1600 residents; the percentage of non-white
students attending Rahway High School was approximately 55%, and the percentage of non-
white students attending David Brearly High School in Kenilworth was approximately 20%. The
Commissioner agreed with the Administrative Law Judge (ALJ) that the circumstances in Winfield
differed from Merchantville in that Kenilworth was “diverse, just not as diverse as the current
receiving district. 	In Merchantville, the proposed receiving district was not at all diverse.”
Winfield, Initial Decision at 30. 	Accordingly, the ALJ in Winfield held, and the Commissioner
concurred, that because “the new receiving district is also diverse (and apparently more diverse
than the Winfield community),” there would be “no substantial negative impact on the quality of
the education of the Winfield students” if the severance was granted. Id. at 31.
As was true in Winfield, if a new sending-receiving relationship is established between
Bloomsbury and North Hunterdon-Voorhees, Bloomsbury students will continue to be educated
in a diverse environment, albeit a less diverse environment than Phillipsburg High School. On
average between 2017-2018 and 2022-2023, Phillipsburg High School had a 40% non-white
student population and North Hunterdon High School had a 17% non-white student population.
However, the percentage of non-white students at North Hunterdon High School increased each
year during that timeframe; by 2022-2023, the non-white population at North Hunterdon High

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School had increased to almost 20%.7 Although the severance of its relationship with Phillipsburg
will result in some negative impact to Bloomsbury students, the Commissioner does not find it to
be a substantial negative impact. 	Diversity at North Hunterdon High School is expected to
continue to increase in the coming years. Furthermore, the record does not contain evidence of
the aggravating circumstances at issue in Englewood Cliffs, such as a trend of rapidly declining
white enrollment in Phillipsburg, projected symbolic loss, or a high percentage of projected
change in the gross white student population upon severance.
Absent a showing of substantial negative impact on the quality of education, the financial
condition, or the racial composition of the districts involved, the Commissioner is required to
grant the requested severance. 	Accordingly, Bloomsbury’s application for severance of its
sending-receiving relationship with Phillipsburg is hereby granted, subject to its entering into a
new sending-receiving relationship with North Hunterdon-Voorhees for a minimum duration of
five years.
IT IS SO ORDERED.8
ACTING COMMISSIONER OF EDUCATION
7 In 2022-2023, 995 white students and 241 non-white students were enrolled at North Hunterdon High
School.
8 This decision may be appealed to the Appellate Division of the Superior Court pursuant to N.J.S.A. 18A:6-
9.1. Under N.J.Ct.R. 2:4-1(b), a notice of appeal must be filed with the Appellate Division within 45 days
from the date of mailing of this decision.
Date of Decision: 	December 5, 2024
Date of Mailing: 	December 5, 2024