N.J. Stat. Ann. § 18A:46A-8

8. No more than six percent of the aid received by any district pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.) shall be used by the district for administration of the act, and no more than 18 percent of the aid shall be used to rent facilities needed to implement the provisions of P.L.1977, c.192 (C.18A:46A-1 et seq.). Notwithstanding the provisions of any other law, rule, or regulation to the contrary, the commissioner is authorized to withhold all or a portion of the amount of aid retained by a school district pursuant to this section, if the commissioner finds that the district did not apply for reimbursement of costs in a timely manner, in accordance with the defined timelines for reimbursement established by the commissioner pursuant to section 9 of P.L.2025, c.252 (C.18A:46A-9.1), or otherwise did not properly or efficiently administer funds allocated to the district pursuant to P.L.1977, c.192 (C.18A:46A-1 et seq.).